Quality Upgrading Versus Quantity Expansion: FDI and Dual Margins of Resource‐Intensive Exports in Gabon

Gabon's economy remains vulnerable to oil dependence and limited diversification despite its relatively high per capita GDP in Sub‐Saharan Africa. Foreign Direct Investment (FDI) is widely viewed as a strategic lever for enhancing export performance, yet its effects on export dynamics remain underexplored. This study investigates the impact of FDI on the dual margins of export: extensive (product and market diversification) and intensive (volume and value), across Gabon's resource‐intensive sectors (oil, gas, wood) from 2007 to 2022. Employing panel fixed‐effects and system GMM estimators to address endogeneity, the results reveal a significant positive relationship between FDI inflows and both export margins, with notable sector‐specific heterogeneity. Technological absorptive capacity emerges as a key mediating channel through which FDI strengthens export competitiveness. These findings underscore the need for targeted policies to attract quality FDI, strengthen technological capabilities, and foster diversification, positioning FDI as a catalyst for sustainable, export‐led growth in resource‐dependent economies.