Volume 30, Issue 1, 2021
DOI: 10.24205/03276716.2020.2031
Foreign Direct Investment, Health expenditures, HIV/Aids and Good Convergence in Africa
Abstract
The “Foreign Direct Investment” (FDI) is considered to be important to the economy of
any nation. However, the studies on factors that could influence FDI have been limited in
the literature, especially in “Africa”. Thus, this study empirically investigates the effects
of health expenditure, HIV/AIDS, life expectancy, and total urban population on FDI. A
yearly data of 43 African states that spans from 2000 to 2017 was utilized with the use of
the multiple linear regression models for the analysis. The study found a negative impact
of life expectancy on the influx of overseas exchange. In addition, the study found a
significant effect of (Health expenditure, good governance," HIV/AIDS, Urban population)
on the inflow of foreign direct investment.
Keywords
Governance, HIV/AIDS, Foreign investment, Africa