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EMPIRICAL ANALYSIS OF FOREIGN DIRECT INVESTMENT IMPACT ON ECONOMIC GROWTH IN NIGER

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Author(s): Amadou Maiga Ousseini | Professor Xiaojuan Hu | Badamassi Aboubacar

Journal: Economics and Finance Review
ISSN 2047-0401

Volume: 1;
Issue: 10;
Start page: 27;
Date: 2011;
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Keywords: GDP growth | FDI | Dickey Fuller test | co-integration | Vector Error Correction.

ABSTRACT
The purpose of this paper is to investigate the impact of foreign direct investment on economic growth in Niger from 1961 to 2010 by using, Unit root test and Co-integration test and the Vector Error correction Model. The results obtained below show that FDI has small, and not a statistically significant effect, on the economic growth. The results seem to sustain the statement that FDI in the extractive area might not be growth enhancing as much as manufacturing FDI.
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