Kesan dan Peranan Pelaburan Langsung Asing ke Atas Pertumbuhan Ekonomi Malaysia

• Main Author: Sumaffiatiee, Sulong
• Format: Thesis
• Language: English; English
• Published: 2002
• Subjects: HG Finance
• Online Access: https://etd.uum.edu.my/960/1/SUMAFFIATIEE_BT._SULONG.pdf; https://etd.uum.edu.my/960/2/1.SUMAFFIATIEE_BT._SULONG.pdf

The effects of foreign direct investment (FDI) on economic development have been the focus of attention of many researchers. FDI is believed to bring in positive effects to the host country in terms of source of capital, management, technology and many more for the developing world and economies in transition. The critical literature, however, maintains that FDI have undesirable effects on the balance of payments position. The purpose of this research is to identify the impact and the role of FDI on the Malaysian economy. Based on the literature review, it is found that the net effect of FDI is positive. It increases job opportunities, provide access to export market and access to research and development activities. However, it also cause the balance of payments to be deficit. The findings suggest that if the country wishes to sustain economic growth, greater efforts will have to be directed towards improving manufacturing sector, increasing labor force productivity and mobilizing domestic savings, rather than relying heavily on foreign capital. From the results obtained, hopefully it can be used as a guideline to the policy makers in order to get an optimum benefits from the FDI.