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Kenya has historically been one of Africa's top destinations for foreign direct investment. Foreign direct investment is critical for Kenya's agricultural sector, offering capital, technology transfer, and skill development that enhance productivity and economic growth. Despite agriculture being a primary economic driver, challenges such as limited capital, outdated farming techniques, and insufficient infrastructure continue to hinder growth. The research explores the contribution of foreign direct investment on agricultural productivity in Kenya as well as to assess the effect of foreign direct investment on the productivity levels of small-scale and large-scale farmers in Kenya for a period 1993 to 2022. Neoclassical growth theory, Endogenous theory were key in guiding the study. This study adapted the causal research design employing time series data from World Bank spanning from years 1993 to 2022. Data was analyzed the data both descriptively and by inferential statistics. The findings of correlational analysis revealed a moderate positive relationships (r= 0.3213) between Foreign direct investment and agricultural productivity. Multiple regression analysis confirmed the significant positive effect of foreign direct investment on agricultural productivity with a coefficient of 0.3661 and p value 0.0014<0.05. This signifies that, in the short term, a 1% increase in foreign direct investment results in a 36.61% rise in the growth of Agricultural productivity, assuming all other variables remain constant. The findings implied that foreign direct investment inflow has the ability to create employment, technological development and improve access to international markets playing a pivotal role in accelerating the agricultural productivity. The Kenyan government should have more effective foreign direct investment strategies to facilitate technology transfer agreements between foreign investors and local agricultural enterprises, additionally, the government should pursue macroeconomic policies that attract foreign direct investment by providing an investor-friendly environment. 

In this study, we review the literature to find how the financial development of a country attracts foreign direct investments for a sustainable real sector development of the country. The area is least focused on literature. Thus we don’t limit our search and review to any time or database or journal category. We find the theoretical logic and empirical evidence so far available in the literature. Our review finds that the development of the financial sector of a country is one of the most important attractors of FDIs. Theoretically, financial sector development works as a symbol of trust and goodness to the new potential investors and a good resource allocation channel for the existing investors. However, very few researchers find that FDIs are more prone to countries with a low developed financial system which may happen due to the presence of risk-taker foreign investors and risk-averse domestic entrepreneurs.

This empirical paper examines how institutional strengths or weaknesses of emerging markets might affect investment inflows into these countries. The study includes data of 13 emerging economies from different regions. The countries included are Argentina, Brazil, Chile, China, Indonesia, India, South Korea, Mexico, Malaysia, Nigeria, Poland, Russia, and Turkey for the time period 2000-2018. The institutional variables; property rights, good governance, corruption, rule of law, and civil liberties are examined to understand if there is a deviation from the existing literature for the emerging countries. Secondly, we also investigated differences among the emerging countries and asked if non-BRIC countries are different in results. A panel data model has been performed for the analysis. Our findings prove that some institutions such as corruption, civil liberties, property rights, and good governance are significantly important to attract FDI into the emerging markets, as indicated in the literature for the developed countries, but not as strong as assumed. Secondly, other institutional constructs such as rule of law and political stability found to be insignificant in emerging markets. Finally, we found a similar result even when we analyzed emerging markets without BRIC countries.

There is a limited amount of literature and data available on the topic of foreign divestment in African countries. The majority of research examining international divestment have primarily concentrated on a single-country context and have utilised factors at the level of individual firms. Unlike other papers, this study took a comprehensive approach by examining foreign divestiture across multiple countries on a continental scale. We analyse the correlation between foreign divestment, financial development, and economic growth over both short and long periods using annual data from 2000 to 2020 in 35 African nations. The principal estimating technique employed was the autoregressive distributed lag (ARDL) co-integration approach. The study's primary findings revealed a favourable enduring correlation between foreign divestiture and financial development, while indicating an unfavourable enduring correlation between foreign divestment and economic growth. Furthermore, the study found that there is a negative correlation between international divestiture and financial development in the short term. On the other hand, there is a positive and significant correlation between foreign divestment and economic growth. Thus, it is imperative for policymakers to implement rules with efficiency and promote foreign direct investment (FDI) inflows in order to enhance economic growth and development in African countries. Additionally, it is imperative for authorities to establish a surveillance system to monitor these connections and adapt policy accordingly in light of evolving economic conditions. The results of this study will not only enhance scholarly discussions, but also offer valuable insights to policymakers, practitioners, businesses, and foreign investors on how to effectively execute policies that promote economic growth and foreign investment in Africa. Moreover, this study provides suggestions for future investigations in the field of foreign divestment.  

As the inclination to FDI shifts from developed to developing economies, investors are flocking to emerging markets, particularly to the Next-11 nations, which render additional growth and investment opportunities. Meanwhile, these countries have become popular FDI destinations; the goal of this study is to look at the major factors that make these countries appealing to FDI destinations. As a result, this research examines the factors that influenced FDI inflows into these nations from 1995 to 2019. Market size, trade openness, natural resource availability, economic stability, and infrastructure facilities are among the potential explanatory factors identified in this research. On the panel data set, which includes data from 11 nations, a fixed-effect model is used. The data show that market size, trade openness, natural resource availability, and economic stability are all possible predictors of FDI inflows to these nations, whereas infrastructure appears to be a minor one.  

The current developments of geopolitical rivalry, pandemic disruptions, and techno-nationalism have led to a fundamental reconfiguration of the global economic order, creating strategic imperatives for the multinational enterprises (MNEs) that go beyond the traditional internationalization theory. This paper aims to contribute to the literature with a systematic review of the adaptation process of MNEs in the time of geopolitical fragmentation and deglobalization. We used PRISMA (Preferred Reporting Items for Systematic Reviews and Meta-Analyses) methodology to screen 200 initial records from Web of Science, Scopus, ScienceDirect, and JSTOR databases, resulting in 47 peer-reviewed articles, mostly published in the last eight years (2018–2026), and a few seminal articles from the past 30 years of international business studies. The analysis of our themes indicates that there are six main strategic response clusters: (1) reconfiguration of the supply chain, including reshoring, nearshoring, and friend-shoring; (2) geopolitical risk management via real options and diversification; (3) a renewed focus on regionalization over global integration; (4) digitalization as a strategic buffer; (5) nonmarket strategies, such as political adaptation and lobbying; and (6) de-internationalization, including staged divestment. We combine these themes into an integrative conceptual framework by integrating the EDGES themes (Economic Systems, Digital Disruptions, Geopolitical Fracture, Environmental Sustainability, and Socio-Cultural Ideology) with firm-level dynamic capability responses and performance outcomes. We find certain gaps that are of critical importance: lack of micro-level empirical evidence, lack of MNE perspectives from the emerging markets, and limited integration of artificial intelligence and geopolitics. The review contributes to the international business theory and provides practical guidelines for the management of MNEs in an increasingly fragmented world economy.

This study examines the long-run relationship between foreign direct investment (FDI) inflows and institutional quality within the Arab Maghreb Union (AMU), focusing on Algeria, Mauritania, Morocco, and Tunisia over the period 2002–2019. Drawing on institutional theories of FDI, the analysis employs governance indicators such as political stability, control of corruption, government effectiveness, regulatory quality, and rule of law to assess their influence on investment dynamics. Using panel unit root and cointegration tests, the study confirms the existence of a stable long-term equilibrium among the variables. The Fully Modified Ordinary Least Squares (FMOLS) estimator is applied to quantify these relationships. Empirical results indicate that control of corruption, political stability, and regulatory quality exert significant positive effects on FDI inflows, even after accounting for macroeconomic controls. Conversely, government effectiveness and rule of law show no statistically significant impact in the presence of the macroeconomic control variables. These findings underscore the critical role of institutional quality in shaping the investment climate of AMU economies. Policy implications suggest that targeted reforms such as strengthening anti-corruption frameworks, enhancing political stability, and improving regulatory governance can bolster institutional credibility, mitigate investment risk, and attract sustainable FDI to the region.  

The study examines how quality of governance influences the Foreign Direct Investment (FDI) inflows in Sub-Saharan Africa. The study adopts a quantitative research strategy that utilises panel data of selected countries during 28 years, that is, 1996-2023. Indicators of governance like Government Effectiveness (GE), Political Stability and Absence of Violence (AV), Rule of Law (RL), Regulatory Quality (RQ) and Voice and Accountability (VA). The findings indicate that Strong Governance frameworks significantly enhance FDI inflows in Sub-Saharan Africa. VA was found to be a very strong positive determinant. GE and PS were also found to have negative relationships in within-country analyses. The IFRS adoption, being a uniform variable throughout the sampled countries, was observed to increase investor confidence. These results imply that the improvement of governance are synergies that help to establish the stable, transparent, and predictable environment sought by investors. Thus, policymakers can improve the governance systems and provide citizen involvement in order to boost foreign investment and attract sustainable capital and economic growth in the region.

This study examines the impact of Foreign Direct Investment (FDI) on economic growth in South Africa over the period 2000 to 2023. An Ordinary Least Squares (OLS) regression model was employed to assess the relationship between FDI inflows and Gross Domestic Product (GDP), while controlling for key macroeconomic variables. The findings reveal that FDI exerts a significant positive influence on economic performance, with a 1% increase in FDI inflows associated with a 1.93% rise in GDP. However, high inflation exerts a detrimental effect, with a coefficient of -1.99, highlighting the importance of macroeconomic stability. The analysis also indicates that trade openness contributes positively to economic growth, while political risk remains a substantial deterrent to investment, as shown by a coefficient of -3.11. These findings underline the importance of maintaining a stable political environment, managing inflation effectively, and enhancing trade liberalisation to maximise the benefits of FDI. Policy recommendations include strengthening regulatory frameworks and fostering trade openness.

This paper examines the causal relationship between foreign divestment (FD), economic growth, and financial development in African countries between 2000 and 2020. The research addresses the inadequately studied influence of macroeconomic variables on FD, focusing on the African context, where scholarly investigations on FD remain scarce. The study seeks to provide policymakers with insights on strategies to mitigate FD outflows and promote sustainable development. The research employs the Dumitrescu-Hurlin Panel Causality test to investigate causal relationships between FD, economic growth, and financial development. The study uses panel data covering multiple African nations over two decades, offering a robust temporal and spatial analysis. The approach emphasises examining unidirectional and bidirectional causation within the macroeconomic framework, contributing to a nuanced understanding of the interplay between these variables. The main findings of the study reveal a unidirectional causation between FD and economic growth across African countries, although this relationship is not consistent in all instances. Additionally, a bidirectional causal relationship is identified between FD and financial development (FIN). These findings underscore the interconnectedness of FD with macroeconomic stability and highlight the importance of fostering economic growth and financial sector development to address FD outflows effectively. This study contributes to the underexplored area of FD in African nations by highlighting its causal relationships with economic growth and financial development. It offers valuable insights for policymakers, scholars, and multinational enterprises (MNEs). The findings further underscore the importance of sound governance practices, economic stability, and financial sector development in mitigating FD outflows and fostering sustainable development in Africa.