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Table 2 UNCTAD’s Classification of FDI determinants

From: Determinants of foreign direct investment in fast-growing economies: evidence from the BRICS and MINT countries

Determining Variables Examples
Policy variables Tax policy, trade policy, privatization policy, macroeconomic policy
Business variables Investment incentives
Market-related economic determinants Market size, market growth, market structure
Resource-related economic determinants Raw materials, labor cost, technology
Efficiency-related economic determinants Transport and communication costs, labor productivity
  1. Source: UNCTAD (2002)