Open AccessThe impact of external funding flow on Jordan’s GDP (1997-2017)
Author(s) -
Ahmad Mashal,
Emad Ahmed,
Lama H Nasrawi,
Anas Ghazalat
Publication year - 2021
Publication title -
international journal of research in business and social science
Language(s) - English
Resource type - Journals
ISSN - 2147-4478
DOI - 10.20525/ijrbs.v10i3.1133
Subject(s) - foreign direct investment , demographic economics , investment (military) , economics , variables , gross domestic product , business , monetary economics , economic growth , macroeconomics , statistics , political science , politics , mathematics , law
The main objective of this study is to investigate the impact of external funding flow on Jordan’s GDP (1997 – 2017) focusing on variables such as; grants (GR), soft loans (LN), foreign direct investment (FDI), and the Jordanian migrant worker's remittances (JMWR) on Jordan's GDP which represent the dependent variable through using the E -Views statistical program and multiple regressions analysis. Previous studies showed the significant and non-significant impacts of the flow of external funding on the economy. In this study the researchers analyzed the impact of external funding flow on Jordan's GDP for the period (1997-2017) and found that grants (GR) and foreign direct investment (FDI) have a statistically significant impact on Jordan's GDP; in contrast, soft loans (LN) and the Jordanian migrant’s worker’s remittances (JMWR) have no statistically significant impact on Jordan's GDP for the same period. This study filled the gap and expanded the analysis to test whether there is an impact of grants independently of the soft loans on Jordan’s GDP and vice versa, in addition, the study investigated the impact of other variables such as; foreign direct investment (FDI), and the Jordanian migrant worker's remittances (JMWR).