ANALYZING THE NEGATIVE IMPACT OF INSECURITY ON FOREIGN DIRECT INVESTMENT IN NIGERIA

The importance of Foreign Direct Investment to a developing country has been emphasised by different authorities at different times. Also the risk factor associated with issues of insecurity could scare investors from any potential host country. Hence, this study examined the negative impacts of in...

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Main Author: Ayoola, Adebukola Olubunmi
Format: Article
Language:English
Published: Federal University Wukari 2022-05-01
Series:International Studies Journal
Subjects:
Online Access:https://wissjournals.com.ng/index.php/wiss/article/view/13
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author Ayoola, Adebukola Olubunmi
author_facet Ayoola, Adebukola Olubunmi
author_sort Ayoola, Adebukola Olubunmi
collection DOAJ
description The importance of Foreign Direct Investment to a developing country has been emphasised by different authorities at different times. Also the risk factor associated with issues of insecurity could scare investors from any potential host country. Hence, this study examined the negative impacts of insecurity on FDI in Nigeria. Data were extracted through in-depth interview of respondentsfrom selected MDAs, academia and some foreign business organisations in the country. While Dunning Eclectic theory provided basis for discussion in this work, data were analysed using content analytical method. Findings revealed that, Nigeria remains investors' first consideration in Africa in spite of high incidence of insecurity because the lure of profit is stronger than the risk of attacks due to the unique potentials of the country. However, both the government and the citizenry directly and indirectly pay for the additional cost incurred by investors to keep their business running thereby robbing the country greater gains from FDI.
format Article
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institution Kabale University
issn 2756-4649
language English
publishDate 2022-05-01
publisher Federal University Wukari
record_format Article
series International Studies Journal
spelling doaj-art-b2de9780215843b48260441c41aee0322025-02-10T10:01:37ZengFederal University WukariInternational Studies Journal2756-46492022-05-0161ANALYZING THE NEGATIVE IMPACT OF INSECURITY ON FOREIGN DIRECT INVESTMENT IN NIGERIAAyoola, Adebukola Olubunmi0Bowen University, Iwo The importance of Foreign Direct Investment to a developing country has been emphasised by different authorities at different times. Also the risk factor associated with issues of insecurity could scare investors from any potential host country. Hence, this study examined the negative impacts of insecurity on FDI in Nigeria. Data were extracted through in-depth interview of respondentsfrom selected MDAs, academia and some foreign business organisations in the country. While Dunning Eclectic theory provided basis for discussion in this work, data were analysed using content analytical method. Findings revealed that, Nigeria remains investors' first consideration in Africa in spite of high incidence of insecurity because the lure of profit is stronger than the risk of attacks due to the unique potentials of the country. However, both the government and the citizenry directly and indirectly pay for the additional cost incurred by investors to keep their business running thereby robbing the country greater gains from FDI. https://wissjournals.com.ng/index.php/wiss/article/view/13InsecurityFDILocation ChoiceRegulatory FrameworkImpact
spellingShingle Ayoola, Adebukola Olubunmi
ANALYZING THE NEGATIVE IMPACT OF INSECURITY ON FOREIGN DIRECT INVESTMENT IN NIGERIA
International Studies Journal
Insecurity
FDI
Location Choice
Regulatory Framework
Impact
title ANALYZING THE NEGATIVE IMPACT OF INSECURITY ON FOREIGN DIRECT INVESTMENT IN NIGERIA
title_full ANALYZING THE NEGATIVE IMPACT OF INSECURITY ON FOREIGN DIRECT INVESTMENT IN NIGERIA
title_fullStr ANALYZING THE NEGATIVE IMPACT OF INSECURITY ON FOREIGN DIRECT INVESTMENT IN NIGERIA
title_full_unstemmed ANALYZING THE NEGATIVE IMPACT OF INSECURITY ON FOREIGN DIRECT INVESTMENT IN NIGERIA
title_short ANALYZING THE NEGATIVE IMPACT OF INSECURITY ON FOREIGN DIRECT INVESTMENT IN NIGERIA
title_sort analyzing the negative impact of insecurity on foreign direct investment in nigeria
topic Insecurity
FDI
Location Choice
Regulatory Framework
Impact
url https://wissjournals.com.ng/index.php/wiss/article/view/13
work_keys_str_mv AT ayoolaadebukolaolubunmi analyzingthenegativeimpactofinsecurityonforeigndirectinvestmentinnigeria