The determinants of foreign direct investment in Southeast Asia/ Nurliana Badaruzaman

Foreign direct investment is an interest as a controlling possession in a business in one nation by a substance situated in another nation. It is consequently recognized from an outside portfolio venture by an idea of direct control. Economic phenomena such as globalization, liberalization and economic integration are one of major effects from the flow of FDI. It has been recognised that FDI is one of the contributor to the economics of beneficiary country. There are several motive that encourage FDI which is are resource seeking, market seeking and efficiency seeking. This research is about to find out the relationship between independent variables toward dependent variables in Southeast Asia which are Malaysia, Singapore and Indonesia from year 1988 until 2017. The dependent variable is foreign direct investment and independent variable are gross domestic product, exchange rate and trade. By using panel data analysis and data from World Bank Data, this study found that there are significant relationship between dependent variable and independent variables in Southeast Asia.