physical capital and infrastructure. This will be beneficial to both domestic and foreign
On the external front, the analysis above suggests that debt relief will encourage
FDI flow to these countries. The outstanding debt stock has been a disincentive to
millennium development goals (MDGs) initiative to reduce the debt burden of
developing countries to sustainable levels is, therefore, a good and welcome
In this paper, issues on FDI and growth in WAMZ countries were raised and discussed.
From the theoretical model and empirical analysis that followed, we came to the
conclusion that FDI depended on the market size measured by the level of per capita
income and the growth of GDP, as well as the level of uncertainty measured by political
instability and macroeconomic instability or inflation. There was no evidence of any two
rate of economic growth to be an important determinant of foreign direct investment
development, macroeconomic stability and political stability will encourage the flow of
FDI to the region.