Journal Press India^®

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Large amount of outward foreign direct investment from emerging nations has raised multiple questions about its impact on domestic investment and economic growth of the home economies. Policy concerns become especially pronounced when outward FDI (OFDI) tends to substitute those domestic investments that could have withstood and boosted home productivity. The reason for overseas relocation of domestic production is reduced investment opportunities at home; such OFDI activities may not only shift some of the production activities from home to these foreign destinations but also transfer the scarce financial resources abroad (Stevens and Lipsey, 1992 ). 

Keywords

productivity; existing literature ; Theoretical Framework; motives; asset seeking

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