Monetary Policy Impact To FDI In Brazil, China And Russia

English

Abstract

The purpose of this study is to look at how monetary policy has an effect on foreign direct investment in Brazil, China, and Russia. Using the Panel Least Square (PLS) approach, this study examines how inflation and the currency rate affect foreign direct investment (FDI) in Brazil, China, and Russia. The result of this study is inflation suppressed the entry of foreign direct investment in Brazil, China, and Russia. However, an increase in the domestic exchange rate triggered an increase in foreign direct investment in Brazil, China, and Russia. This shows that controlling inflation and exchange rates on monetary policy in the three countries has had an impact on foreign direct investment (FDI) in Brazil, China, and Russia.