Fdi in Service

Foreign direct investment in Services sectors
Empirical study


Abstract

Purpose: - The purpose of this research is to study and examines the growth of the   dynamics of the   FDI. It intends to see whether the growth in FDI has any   significant impact the service sector growth and also investigates the impact of FDI on the service sub sectoral.(Such   as   trade, hotels, restaurants, transports, storage and communication).

Design /methodology / approach – This study based on the secondary data and it has been applied regression modeling with help of logarithmic transformation of the raw data.

Finding – This study found are the main factors of FDI inflows in the service sector of India. According to the finding FDI have a positive impact on the economic growth of India and This study mainly emphasis on the how to GDP affected by the FDI if another factor are changed.

Research limitation / Implications – In this paper only consider the secondary data and


Originality /Value – This paper tries to given explores th


Keywords – Foreign direct investment, Regression model, Gross domestic product.
Paper type – Empirical paper



















INTRODUCTION
FDI plays a major role in the dynamic growth of the services sector though the ambiguity in classifying various activities under the services sector poses difficulty in the measurement of FDI inflows into this sector. (Economic survey 2011)

Among Asian countries India has shows the rising inflows in FDI from a period of 2009- 2010, which accounted almost more than four fifths of region’s FDI (UNCTAD).India is a developing country so that have problem about foreign investment and foreign exchange gap which with the help of FDI we meets the investment requirements and ultimately make a useful resources for the India.

                  As per the recent survey done by the United National Conference on trade and Development (UNCTAD), India will emerge as the third...