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August 17, 2025International Journal of EconomicsOpen Access

Impact of China’s Foreign Direct Investment (FDI) on EAC’s Economic Growth (2003-2022): An Econometric Analysis

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Authors

CAClemence AbadataZTZe TianANAbban Priscilla Nyamekye

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Overview

Econometric analysis reveals that FDI influences GDP growth in EAC, highlighting potential risks and policy needs.

Key Points

  • Foreign direct investment significantly contributes to economic growth in the East African Community.
  • Key determinants like trade openness, gross domestic savings, and gross capital formation also enhance GDP.
  • Employing econometric techniques, analysis showed a negative impact of natural resources on GDP growth.
  • The findings point to the need for policies addressing dependency and optimizing FDI benefits in EAC.

Cite This Study

Abadata et al. (2025) studied this question.

synapsesocial.com/papers/68a36f8a0a429f79733324f2https://doi.org/10.47604/ijecon.3458
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