Proceedings of the 7th International Conference on Accounting, Management and Economics (ICAME-7 2022)

Foreign Investment Intervention on Economic Growth in Indonesia

Authors
Abdul Hamid Paddu1, *
1Hasanuddin University, Makassar, Indonesia
*Corresponding author. Email: hamidpaddu@fe.unhas.ac.id
Corresponding Author
Abdul Hamid Paddu
Available Online 29 May 2023.
DOI
10.2991/978-94-6463-146-3_45How to use a DOI?
Keywords
Foreign Investment; Economic Growth; Inflation; Interest Rates; Exchange Rates
Abstract

This study aims to examine and analyze foreign investment interventions on the economic growth in Indonesia. Economic growth is a vital indicator of the prosperity of a country. Intervention on foreign investment is necessary from time to time in order to ensure benefits for all parties. As a developing country, Indonesia requires substantial funds to carry out national development. The analytical method used is path analysis using secondary data. The results of this study indicate that inflation does not directly affect economic growth or indirectly through the mediation of foreign investment. Moreover, interest rates have a direct and significant negative effect on economic growth, but interest rates have a positive and significant indirect effect on economic growth through foreign investment. This study also finds that the exchange rate has no direct effect on economic growth, however the exchange rate has a negative and significant indirect effect on economic growth through foreign investment.

Copyright
© 2023 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title
Proceedings of the 7th International Conference on Accounting, Management and Economics (ICAME-7 2022)
Series
Advances in Economics, Business and Management Research
Publication Date
29 May 2023
ISBN
978-94-6463-146-3
ISSN
2352-5428
DOI
10.2991/978-94-6463-146-3_45How to use a DOI?
Copyright
© 2023 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

TY  - CONF
AU  - Abdul Hamid Paddu
PY  - 2023
DA  - 2023/05/29
TI  - Foreign Investment Intervention on Economic Growth in Indonesia
BT  - Proceedings of the 7th International Conference on Accounting, Management and Economics (ICAME-7 2022)
PB  - Atlantis Press
SP  - 461
EP  - 467
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-146-3_45
DO  - 10.2991/978-94-6463-146-3_45
ID  - Paddu2023
ER  -