Foreign Direct Investment of United States of America in Bangladesh

  •  Fahmida Mostafiz    


The purpose of this paper is to review the Foreign Direct Investment of United States of America in Bangladesh. To pursue the objectives, the study considers the year to year total inflows of FDI and contribution from USA compare to other countries. A time series analysis using simple regression model, Compound growth rate in sectors, investing across borders indicators developed by World Bank group and Market Potential Index conducted by the Michigan state University-International Business Center reveals that, USA average inflow is US$ 115.89 million which is 13% out of the total FDI received Bangladesh. Moreover, USA recent investments in Bangladesh are in four sectors: gas and petroleum, power and banking. As, Bangladesh performance relatively better than India, Pakistan and Srilanka in terms of investing across borders indicators, US companies and government of both nations may positively consider the findings of this study when they are going to formulate investment and trade policies. Making a scope of further studies in related field, this paper contribute to the existing knowledge of US investment opportunities in Bangladesh.

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