E ISSN: 2583-049X

International Journal of Advanced Multidisciplinary Research and Studies

Volume 3, Issue 5, 2023

Factors Affecting Attracting Foreign Direct Investment in Agriculture: A Study in Thai Binh, Vietnam

Author(s): Nguyen Tien Thanh


Attracting foreign direct investment (FDI) is a continual focus for the government, both broadly and specifically within the agricultural sector. This emphasis is particularly evident as Thai Binh, Vietnam pursues sustainable integration and development. Therefore, understanding the factors that impact FDI attraction in agriculture is essential for well-informed policy development. To explore these dynamics, the research utilizes the Structural Equation Model (SEM) to pinpoint the determinants of FDI attraction in Thai Binh's agricultural sector. Results from a sample of 176 FDI enterprises in agriculture highlight the importance of factors such as infrastructure and services, institutions and policy, social environment, macroeconomic conditions, and natural circumstances in shaping FDI attraction. Notably, infrastructure and institutions & policy emerge as the most influential factors, surpassing the impact of social environment, macroeconomics, and natural conditions.

Keywords: Foreign Direct Investment, Agricultural Sector, Infrastructure, Natural Conditions, Institutions & Policy, Social Environment, Macroeconomics

Pages: 1513-1526

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