Investigating the determining factors of sustainable FDI in Vietnam
China Finance Review International
ISSN: 2044-1398
Article publication date: 3 January 2022
Issue publication date: 7 April 2022
Abstract
Purpose
The main purpose of this paper is to analyze the sustainable inward FDI pattern of Vietnam.
Design/methodology/approach
This paper intends to analyze the sustainable FDI pattern of Vietnam using the gravity theory and panel data approach for the annual data over the period of 2007–2020.
Findings
Vietnamese FDI volume is positively affected by political and social factors, globalization and green energy consumption, while geographical distance is a major obstacle to the increase of FDI inflows of the country.
Practical implications
As the main practical policy implications, issuing policies for sustainable economic growth, launching the novel strategy of green FDI neighborhood policy and regionalism through free trade agreements are recommended.
Originality/value
To the best of author's knowledge, there has not been any in-depth academic study focusing on the Vietnam's sustainable FDI. In addition, three robustness checks have been conducted to ensure the validation of empirical findings.
Keywords
Acknowledgements
This research is funded by the National Economics University, Hanoi, Viet Nam under the contract CBQT.12/2022.
Citation
Quang, P.T., Rasoulinezhad, E., Linh, N.N. and Thao, D.P. (2022), "Investigating the determining factors of sustainable FDI in Vietnam", China Finance Review International, Vol. 12 No. 2, pp. 334-350. https://doi.org/10.1108/CFRI-10-2021-0207
Publisher
:Emerald Publishing Limited
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