Neha Singh and Cheshta Kapuria
This paper aims to analyse, the issue concerning the quality of inward foreign direct investments (FDI) by empirically investigating the role of four sustainability determinants…
Abstract
Purpose
This paper aims to analyse, the issue concerning the quality of inward foreign direct investments (FDI) by empirically investigating the role of four sustainability determinants of FDI, namely, economic, environmental, social and governance using data from 22 developing countries of the Asian region over a period from 2000–2016.
Design/methodology/approach
The methodology adopted to achieve this purpose is dynamic panel estimation (two-step difference generalised method of moments) by developing three econometric models. The data is sourced from the World Development, Worldwide Governance Indicators, International Telecommunication Union and the United Nations Conference on Trade and Development.
Findings
The econometric results indicate that, in general, control of corruption, political stability and electricity consumption influence sustainable FDI favourably; and CO2 emissions lower the extent of sustainable FDI. The result underlines deficiencies in the information technology aspect, which has a non-significant yet positive relationship with sustainable FDI. A pertinent finding of this study is that the past value of FDI inflows increases the current year’s FDI inflows in developing countries.
Practical implications
The findings related to gender and information technology aspects found in this paper will be of interest to both researchers and policymakers for substantially reorienting the sustainability attributes to foreign investment.
Originality/value
The authors’ main contributions are to encapsulate the conceptual framework into an empirical model by combining all the four dimensions, namely, environmental, economic, social and governance for developing countries.
Details
Keywords
Simrit Kaur and Cheshta Kapuria
Since finance is an efficacious instrument for economic development, social inclusion and women empowerment, the present paper examines the determinants of accessing institutional…
Abstract
Purpose
Since finance is an efficacious instrument for economic development, social inclusion and women empowerment, the present paper examines the determinants of accessing institutional and non-institutional finance across male- and female-headed households in rural India.
Design/methodology/approach
Multinomial logistic regression is applied for categorizing households' accessing finance in four categories, namely Only Institutional Finance (IF), Only Non-institutional Finance (NIF), Both Sources of Finance (BF) and Neither Source of Finance (N). Both household and state-level determinants have been analysed. Household data set is sourced from the Situation Assessment Survey (NSSO, 70th round) and state-level data sets from Basic Road Statistics 2016, Agricultural Statistics at a Glance 2016, Rainfall Statistics of India 2014, database on Indian Economy RBI and Census 2011. Econometric regressions have been evaluated for female-headed households (FHHs), male-headed households (MHHs) and overall pooled households (HHs).
Findings
Four important findings emerge. First, FHHs have a lower probability of accessing IF and a higher probability of accessing NIF vis-a-vis MHHs. Second, in general, education levels, monthly household consumption expenditure, land size holding, irrigated area and penetration of scheduled commercial banks favourably influence FHHs accessing IF. Third, FHHs belonging to socially disadvantaged castes have a lower probability of accessing IF. Fourth, a substantial proportion of FHHs accesses neither IF nor NIF relative to MHHs.
Practical implications
The paper thoroughly addresses the issue of accessing finance by FHHs and MHHs, which will further assist policymakers in formulating holistic financial policies for rural India.
Social implications
The paper recommends increasing women's access to financial services as an effective tool for reducing poverty and lowering income inequality in rural India.
Originality/value
This article contributes to the scant empirical literature on finance and gender.
Details
Keywords
Cheshta Kapuria and Neha Singh
The purpose of this paper is twofold: to explore the interrelationships between FDI with growth and sustainability dimension; and to empirically analyze the four dimensions…
Abstract
Purpose
The purpose of this paper is twofold: to explore the interrelationships between FDI with growth and sustainability dimension; and to empirically analyze the four dimensions, namely, environmental, economic, social and governance of sustainable FDI for South Asia and West Asia.
Design/methodology/approach
The data utilized in the paper is sourced from the World Development Indicators and the Worldwide Governance Indicators, covering South and West Asian region over the period 2011–2017. The paper employed both static and dynamic panel (two-step difference generalized methods of moments) estimation methods.
Findings
The results established a significant and robust relationship of past year FDI inflows with the current year’s value of FDI inflows for both the regions. Further, some variances in the relationships such as control of corruption, long-run carbon emissions, research and development, number of trademark applications as per the contextual factors have been detected.
Research limitations/implications
The conclusions related to gender and governance found in this paper will be of interest to both researchers and policy makers for substantially reorienting the sustainability attributes to the foreign investment.
Originality/value
The authors’ main contributions are: to encapsulate the conceptual framework into an empirical model by combining all the four dimensions, namely, environmental, economic, social and governance; to have analyzed the possible differences and similarities in the study based on South and West Asia; to have explored the relationship between gender and FDI.