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Economic Freedom and Indian Outward Foreign Direct Investment: An Empirical Analysis

Anwar, Amar and Mughal, Mazhar (2012): Economic Freedom and Indian Outward Foreign Direct Investment: An Empirical Analysis. Published in: Economics Bulletin , Vol. 32, No. 4 (28 October 2012): pp. 2991-3007.

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Abstract

This study examines the role economic freedom plays in attracting Indian outward foreign direct investment to various countries. Investments by Indian multinationals to various continents are studied along with aggregate investment outflows. Results show that Indian outward FDI do appear to prefer economically free economies. Government size, ease of foreign trade, and market regulations are the aspects of economic freedom Indian investors appear to cherish, while legal structure does not seem to influence the volume of investments by Indian multinationals.

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