Agricultural Sector FDI and Economic Growth in Saarc Countries
M. Arul Kumar1, S. Gopalsamy2

1M. Arul Kumar, Ph.D Scholar Full-Time, Department of International Business, Alagappa University, Karaikudi (Tamil Nadu), India.
2Dr. S. Gopalsamy, Assistant Professor, Department of International Business, Alagappa University, Karaikudi (Tamil Nadu), India.
Manuscript received on 17 September 2019 | Revised Manuscript received on 04 October 2019 | Manuscript Published on 11 October 2019 | PP: 116-121 | Volume-8 Issue-2S10 September 2019 | Retrieval Number: B10190982S1019/2019©BEIESP | DOI: 10.35940/ijrte.B1019.0982S1019
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Abstract: The study seeks to establish the relationship between foreign direct investment to Saarc region agricultural sector and economic growth with secondary data. SAARC comprises 3% of the world’s area, 21% of the world’s population and 3.8% (US$2.9 trillion) making up a total of 3% of the world’s area. The country has second in all over the world in terms of agriculture position. The population obliquely all of the member states is over 1.7 billion, accounting for 21% of the world’s total population. In their 42% of the agricultural operation in SAARC nations and also 51% source of livelihood of the South Asians. The study has revealed that India alone accounts for 52 per cent of the agricultural products using the SAARC region peoples. For the present study, a total of 34 groups related to the agricultural products were selected out of the total groups. The techniques employed to analyze the data include descriptive statistic, correlation and linear forecast method. The study also revealed a positive and important relationship between economic growth and foreign direct investment flow to the agricultural sector. Thus, the study recommends that policy should focus on flexible trade policies to attract more foreign direct investment (FDI) inflows to SAARC nations. i.e. Afghanistan, Bangladesh, Bhutan, Maldives, Nepal, Pakistan, Sri Lanka including India.
Keywords: Agricultural Sector, FDI, Economic Growth and SAARC Countries.
Scope of the Article: Social Sciences