Open AccessImpact of Foreign Capital Inflows on Household Savings in Pakistan
Author(s) -
Muhammad Idrees,
Ayesha Khan,
Muhammad Arsalan Khan,
Muhammad Bilal Raees,
Muniza Syed
Publication year - 2020
Publication title -
european journal of business and management research
Language(s) - English
Resource type - Journals
ISSN - 2507-1076
DOI - 10.24018/ejbmr.2020.5.4.436
Subject(s) - foreign direct investment , foreign capital , capital (architecture) , economics , developing country , state (computer science) , demographic economics , business , investment (military) , international economics , economic growth , macroeconomics , geography , political science , politics , archaeology , algorithm , computer science , law
This study aims to discover the impact of foreign capital inflows (FDI, RT and FA) on household savings of Pakistan. Data used in this study has been obtained from the website of State Bank of Pakistan for the period of 1981-2010. Statistical tools including multiple regressions analysis was applied for analysis. Results explain that foreign direct investment (FDI), remittances (RT) are having positive and significant impact on household saving (HS) but foreign aid (FA) is having negative and insignificant impact on household saving, so it is recommended that if a developing country like Pakistan wants to increase the household saving it should give thoughtful importance to FDI and RT than FA with respect to household savings in Pakistan.