Direct Investment (FDI) involves movement of resources from foreign countries into
the local economy. Foreign Direct Investment is the key driver of economic growth
in many developing countries in the world. Despite Foreign Direct Investment being
a key driver of economic growth, Foreign Direct Investment in Agriculture in Zambia
has not stimulated great economic growth despite the country having vast arable
land and a lot of water bodies lying across the country.
study covers Foreign Direct Investment in agriculture in Zambia which includes;
size and growth of the economy, physical, financial and technological infrastructure
and investment promotions. It also addresses the role of Foreign Direct Investment
in the agricultural sector which is job creation. An analysis of the policy frame
in agriculture was carried to show how Foreign Direct Investment in agriculture
is supported. The paper also outlines challenges and limitations that affect growth
of Foreign Direct Investment in agriculture in Zambia. These include; poor road
network, poor land policy in agriculture, political risks, poor economic environment
in the country and high corruption rate. Activities undertaken by government in
improving agriculture in the country has also been analyzed in this paper, such
as provision of incentives to investors in agriculture, crop diversification, and
introduction of Farm blocks in the various parts of the country
study will contribute to Foreign Direct Investments in stimulating economic growth
and improvement in developing Countries. Foreign investment inflows in Agriculture
also saw a rise in the number of accommodation establishments and employment levels.
Zambia, Foreign Direct Investment, Economic Growth, Agriculture, Employment.
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