Abstract:

The aim of this study is to investigate the effects of foreign direct investments on the country’s economic growth. The MINT countries (Mexico, Indonesia, Nigeria and Turkey) have been investigated to this goal. Direct foreign investments are of particular importance for the developing countries. These countries have aimed at increasing their investments to the status of developed countries. In the analysis process, Pedroni's synchronization analysis was used. Furthermore, a historical analysis was aimed at using annual data for the periods 1974 and 2017. It was possible to do a historical analysis due to the length of the period. Therefore, it is possible to talk about two different originalities of this work. First of all, the analysis has a guiding character in the name of the development of the MINT countries. On the other hand, the Pedroni panel integration analysis is considered for the first time under this topic title. The main reason for the selection of the MINT countries is that although the countries concerned are in the group of developing countries, they have a potential for growth especially due to their geographical position. The conclusion was that there was a long-term relationship between foreign direct investments and economic growth for MINT countries. Therefore, in MINT countries, governments will be able to give incentives such as tax discount and ground support in order to increase foreign direct investment. This will allow foreign investments to be increased. This will make it easier for those countries to reach the level of developed countries.

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