An Overview of Foreign Direct Investment and Green Growth in OIC Countries

Abstract

The firstly purpose is to critically evaluate the impact of trade, labor force and capital establishment and foreign investment (FDI) upon eco-friendly green growth in OIC nations. The available theoretical and empirical literature on the subject is examine and summarize in this work. Secondly, the literature is identified by drawing on the hypothetical theoretic and pragmatic perceptions found in broadcasted literature. Furthermore, this analysis paper clarified theoretical approaches that explain the workings of these approaches. Thirdly, this paper suggests three productive areas for more study. First, export earnings represent a significant source of foreign exchange, which is essential when local savings are insufficient to enable capital goods imports. Second, an increase in exports may also indicates an upsurge in the market’s size, bringing significant economies to fasten the pace of technological advancement on capital formation. At third, policies that are focused outward are thought to boost economic growth because they may boost an economy's total productivity and efficiency through productivity spillovers from importing more sophisticated technology or by drawing foreign direct investment.