Foreign direct investment and military expenditure in the face of terrorism: evidence from Sub-Saharan Africa
This study examines the relationship between military expenditure and foreign direct investment (FDI) amid terrorism. The study used Mean Group, Pooled Mean Group, Dynamic Fixed Effect, and Panel Quantile estimations techniques on 23 terrorized countries in Sub-Sharan Africa from 1999 to 2019. The o...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
Opast Group
2024
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| Online Access: | http://psasir.upm.edu.my/id/eprint/117514/ http://psasir.upm.edu.my/id/eprint/117514/1/117514.pdf |
| _version_ | 1848867269554208768 |
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| author | Niaz Ahmed, Mohd Naseem bn Kabiru, Alhaji |
| author_facet | Niaz Ahmed, Mohd Naseem bn Kabiru, Alhaji |
| author_sort | Niaz Ahmed, Mohd Naseem bn |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | This study examines the relationship between military expenditure and foreign direct investment (FDI) amid terrorism. The study used Mean Group, Pooled Mean Group, Dynamic Fixed Effect, and Panel Quantile estimations techniques on 23 terrorized countries in Sub-Sharan Africa from 1999 to 2019. The outcome of the estimate discovered that military expenditure in the absence of terrorism negates FDI flow. But, amid terrorism, military expenditure has a significant positive impact on FDI inflow. Also, the results show that the effect varies at different quantiles. The results are robust using death from terrorism attacks to measure terrorism on a different model. The study suggests that countries should desist from high military spending in the absence of terrorism to facilitate FDI flow. Countries in mid-life terrorism should enhance military spending and augment military strategy with other options to boost investors' confidence in the economy's high influx of FDI. |
| first_indexed | 2025-11-15T14:33:49Z |
| format | Article |
| id | upm-117514 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T14:33:49Z |
| publishDate | 2024 |
| publisher | Opast Group |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-1175142025-07-09T08:03:22Z http://psasir.upm.edu.my/id/eprint/117514/ Foreign direct investment and military expenditure in the face of terrorism: evidence from Sub-Saharan Africa Niaz Ahmed, Mohd Naseem bn Kabiru, Alhaji This study examines the relationship between military expenditure and foreign direct investment (FDI) amid terrorism. The study used Mean Group, Pooled Mean Group, Dynamic Fixed Effect, and Panel Quantile estimations techniques on 23 terrorized countries in Sub-Sharan Africa from 1999 to 2019. The outcome of the estimate discovered that military expenditure in the absence of terrorism negates FDI flow. But, amid terrorism, military expenditure has a significant positive impact on FDI inflow. Also, the results show that the effect varies at different quantiles. The results are robust using death from terrorism attacks to measure terrorism on a different model. The study suggests that countries should desist from high military spending in the absence of terrorism to facilitate FDI flow. Countries in mid-life terrorism should enhance military spending and augment military strategy with other options to boost investors' confidence in the economy's high influx of FDI. Opast Group 2024 Article PeerReviewed text en http://psasir.upm.edu.my/id/eprint/117514/1/117514.pdf Niaz Ahmed, Mohd Naseem bn and Kabiru, Alhaji (2024) Foreign direct investment and military expenditure in the face of terrorism: evidence from Sub-Saharan Africa. Journal of Investment, Banking and Finance, 2 (1). pp. 1-13. ISSN 2997-2256 https://www.opastpublishers.com/open-access-articles/foreign-direct-investment-and-military-expenditure-in-the-face-of-terrorism-evidence-from-subsaharan-africa.pdf 10.33140/jibf.02.01.18 |
| spellingShingle | Niaz Ahmed, Mohd Naseem bn Kabiru, Alhaji Foreign direct investment and military expenditure in the face of terrorism: evidence from Sub-Saharan Africa |
| title | Foreign direct investment and military expenditure in the face of terrorism: evidence from Sub-Saharan Africa |
| title_full | Foreign direct investment and military expenditure in the face of terrorism: evidence from Sub-Saharan Africa |
| title_fullStr | Foreign direct investment and military expenditure in the face of terrorism: evidence from Sub-Saharan Africa |
| title_full_unstemmed | Foreign direct investment and military expenditure in the face of terrorism: evidence from Sub-Saharan Africa |
| title_short | Foreign direct investment and military expenditure in the face of terrorism: evidence from Sub-Saharan Africa |
| title_sort | foreign direct investment and military expenditure in the face of terrorism: evidence from sub-saharan africa |
| url | http://psasir.upm.edu.my/id/eprint/117514/ http://psasir.upm.edu.my/id/eprint/117514/ http://psasir.upm.edu.my/id/eprint/117514/ http://psasir.upm.edu.my/id/eprint/117514/1/117514.pdf |