Sustainable Foreign Direct Investment: A State Level Analysis in India
Authors/Creators
- 1. Business Economics, The Maharaja Sayajirao University of Baroda Vadodara, Gujarat, India
Description
Abstract: This study addresses the alignment of Sustainable Development Goals (SDGs) and Foreign Direct Investment (FDI) flows in India. While FDI is pivotal for economic growth, its unequal distribution within the country is often overlooked in sustainable FDI discussions. Using the Lorenz curve and Gini coefficient, the study introduces a sustainability index for states and sectors. Findings show that states with higher FDI, like Maharashtra, Gujarat, and Karnataka, exhibit stronger sustainability. The study underscores the importance of improving innovation and trade capabilities across all states to promote an equitable FDI distribution for sustainable business operations.
Keywords: FDI, SDG indicators, Sustainable FDI, Lorenz curve, Gini coefficient
JEL Classification Number: F36, 23, F15