The working title of this dissertation is initially drafted as: Importance of FDI in
2.0 Background of the Study
The process of making a physical investment into another country is known as foreign direct investment (FDI). This definition extends to include investments which are made to acquire lasting interest in enterprises operating outside of the economy of the investor. As such, FDI relationship mainly comprises a parent enterprise and a foreign affiliate that together form a multinational company (MNC). FDI can be categorized by direction (inward or outward); by target (
Within the mainstream theoretical and empirical economic literature, however, the academic importance of FDI for island nations had been neglected until recently. FDI and its importance receive a wider database specifically for developing countries, OECD countries, Asian countries and African,
3.0 Statement of the Problem
The problem that this research will address is the degree of importance of FDI to
1) What are the recent trends and development in FDI in SIDS? In
2) What are the obstacles that foreign direct investors may experience when investing in SIDS? in
3) How the creation of externalities in the form of benefits available to all economic participants could leverage
4) How does FDI could contribute to the development of local businesses? What are the benefits of FDI for domestic business community?
5) How does FDI impact the standard of living of Seychellois? How FDI impact the employment of Seychellois?
6) What is the role of the Seychellois government and the investment policy in accelerating the inward movement of capital? What strategies should be embarked on?
4.0 Objectives of the Study
The aim of this study is to measure the importance of FDI to SDIS and, in particular,
1) To determine the recent trends, developments and obstacles in investing in
2) To explore how Seychellois government and investment policies further attract and maintain FDI
3) To analyse how
4) To evaluate how FDI contributes to the economic growth and development of
5) To distinguish economic strategies that shall be implemented by the Seychellois government
5.0 Research Methodology
The study will incorporate an exploratory approach in the phenomenon because it aims to determine the present facts as well as facts that are not yet explored about the phenomenon. Exploratory research will enable the study to look at the problem in both descriptive and exploratory manner. It will look into the problem by exploring the views of different sets of respondents, as well as by exploring different literatures related with the study.
For this study, primary research and secondary research will be used. The primary source of data will come from the researcher-made questionnaire and interview questions. The primary data frequently gives the detailed definitions of terms and statistical units used in the study. These are usually broken down into finer classifications. The secondary sources of data will come from published articles, journals, theses and related studies on FDI and SIDS and FDI in