Impact of Terrorism on Foreign Direct Investment in South Asian Countries: Evidence from Heterogeneous Panel Analysis

This research investigates the impact of terrorism and the peace index on foreign direct investment (FDI) in South Asian countries, comprising eight economies. The study initially examines the individual effects of terrorism, GDP, inflation, population, and trade openness on FDI in the South Asian countries. Subsequently, it explores the influence of the peace index, GDP, inflation, population, and trade openness on FDI in the same economies. The data covers from 2011 to 2021. The panel-regression framework is employed as the primary technique for data analysis. Moreover, to examine the integration among the variables under consideration, Pedroni co-integration and FMOLS regression