The Impact Of Chinese Foreign Direct Investment(CFDI) On Lao's Economic Growth

The research titled "The impact of Chinese foreign direct investment(CFDI)on Laos's economic growth" aims to analyze the relationship between FDI and Lao's economic growth and also the extent of the impact of Chinese Foreign Direct Investment on Lao's economic growth.The paper utilized the Ordinary Least Square model to estimate the data series.The data series ranges from the year 1980 to 2018.Before running the regression model,the paper analyzed the data through a different diagnostic test to understand if the data is reliable and consistent.Thus the conclusion from the serial correlation test revealed that the data series is free from serial correlation and also the unit root test showed that the variables are stationary.Analyzing data through the OLS model revealed that CFDI and Lao's economic growth are positively correlated.Based on sectorial estimation,CFDI positively affects the growth of both the agricultural sector and the industrial sector.In conclusion,the paper highlighted the significance of CFDI on Lao's economic growth.As such,the paper recommends the Laos government to employ strict measures and economic policies to witness a continuous increase in FDI.