Dublin Core
Title
TRADE LIBERALISATION-CAPITAL INFLOW: AN INCLUSIVE FRAMEWORK FOR ZIMBABWE
Creator
SHAME MUKOKA
Description
This study sought to determine a framework of upholding trade liberalism for increased capital
inflows in the form of Foreign Direct Investment (FDI) for Zimbabwe. The study used the
ARDL-ECM in the determination of the nexus between the two variables, for the data covering
1980 to 2021. E-views Version 9.0 Statistical Package was used to run the regressions. Data
were obtained from the Reserve Bank of Zimbabwe, International Monetary Fund and World
Bank. The study found that in the short-run, trade openness has a significant inverse
relationship with capital flows (FDI), whilst in the long-run there is a significant positive
relationship between them for Zimbabwe. The study recommends that there be duty free on
capital goods, that the government give incentives on exporters, that all goods exported go
through the process of value addition, that the government provide subsidies on exporters and,
that the government ensure efficiency at ports through infrastructure develop
inflows in the form of Foreign Direct Investment (FDI) for Zimbabwe. The study used the
ARDL-ECM in the determination of the nexus between the two variables, for the data covering
1980 to 2021. E-views Version 9.0 Statistical Package was used to run the regressions. Data
were obtained from the Reserve Bank of Zimbabwe, International Monetary Fund and World
Bank. The study found that in the short-run, trade openness has a significant inverse
relationship with capital flows (FDI), whilst in the long-run there is a significant positive
relationship between them for Zimbabwe. The study recommends that there be duty free on
capital goods, that the government give incentives on exporters, that all goods exported go
through the process of value addition, that the government provide subsidies on exporters and,
that the government ensure efficiency at ports through infrastructure develop
Publisher
Zimbabwe Journal of Business, Economics, and Management
Date
2023
Position: 119 (44 views)