Earn up to
$50000
for inviting friends
to get StartUp Bonus
from InstaForex
No investments required!
GET BONUS
55%
from InstaForex
on every deposit
Reply to thread
Page 1 of 2 1 2
Results 1 to 10 of 14

Thread: Impact of exchange rate instability on foreign direct investment.

  1. #1 Collapse Post
    MT5 Addict
    I am:
    ----
     
    SirTiteb is a glorious beacon of light SirTiteb is a glorious beacon of light SirTiteb is a glorious beacon of light SirTiteb is a glorious beacon of light SirTiteb is a glorious beacon of light SirTiteb is a glorious beacon of light SirTiteb's Avatar
    Posts
    455
    Accumulated bonus
    89 USD (What is this?)
    Thanks
    452
    Thanked 573 Times in 255 Posts
    SubscribeSubscribe
    Subsribed 0

    Default This post is sponsored by a content payout program available to anyone to participate. Impact of exchange rate instability on foreign direct investment.

    Discuss the impact of exchange rate instability on foreign direct investment.

    Though trading on financial markets involves high risk, it can still generate extra income in case you apply the right approach. By choosing a reliable broker such as InstaForex you get access to the international financial markets and open your way towards financial independence. You can sign up here.


  2. Thanks under the first post will be ignored for the purpose of distribution of prizes
  3. #2 Collapse Post
    I just can't quit pips!
    I am:
     
    Poshentity has a reputation beyond repute Poshentity has a reputation beyond repute Poshentity has a reputation beyond repute Poshentity has a reputation beyond repute Poshentity has a reputation beyond repute Poshentity has a reputation beyond repute Poshentity has a reputation beyond repute Poshentity has a reputation beyond repute Poshentity has a reputation beyond repute Poshentity has a reputation beyond repute Poshentity has a reputation beyond repute Poshentity's Avatar
    Posts
    5,317
    Accumulated bonus
    7745 USD (What is this?)
    Thanks
    5,783
    Thanked 6,097 Times in 3,430 Posts
    SubscribeSubscribe
    Subsribed 3

    Default This post is sponsored by a content payout program available to anyone to participate.

    The fact is that exchange rate instability actually affects Investments that are made in other countries aside the resident country of the investors. An FDI foreign direct Investment is a type of investment where the Investors acquires a foreign business asset in a country abroad or an investor make an investment in another country either by creating a business there or also by making Investments on already existing business in the country. A typical example of an FDI foreign direct Investment is the one that apple made in the people's republic of China since the apple is mainly from the United States Origin.
    When the exchange rate is unstable the business will have a fluctuations in it's business dealings and balancing of financial statements will become difficult. It won't be an easy task to make plannings and financial budget will be difficult to also draft due to the fact that the exchange rates may result to variable figures from the actual anticipated earnings and expenditures of the organization.

    Though trading on financial markets involves high risk, it can still generate extra income in case you apply the right approach. By choosing a reliable broker such as InstaForex you get access to the international financial markets and open your way towards financial independence. You can sign up here.


  4. 3 users say Thank You to Poshentity for this useful post.

    dtvade (01-19-2020), Kenehiz (01-14-2020)

  5. #3 Collapse Post
    MT5 Maniac
    I am:
     
    Kenehiz has a reputation beyond repute Kenehiz has a reputation beyond repute Kenehiz has a reputation beyond repute Kenehiz has a reputation beyond repute Kenehiz has a reputation beyond repute Kenehiz has a reputation beyond repute Kenehiz has a reputation beyond repute Kenehiz has a reputation beyond repute Kenehiz has a reputation beyond repute Kenehiz has a reputation beyond repute Kenehiz has a reputation beyond repute Kenehiz's Avatar
    Posts
    3,445
    Accumulated bonus
    2020 USD (What is this?)
    Thanks
    1,957
    Thanked 3,276 Times in 1,789 Posts
    SubscribeSubscribe
    Subsribed 1

    Default This post is sponsored by a content payout program available to anyone to participate.

    When the exchange rate of a currency is not stable all the time, it signifies one thing. It means the economy is not stable! When the economy is stable and is doing well, it will reflect on the value of the country currency. There are many indicators that are use to measure the strength of an economy. The value of the country currency and it stability in the financial market is one method that can be used. No investor will put his/her money on a unstable economy. Before a country will want foreign direct investment, the government should look into strengthening their currency. That is why the United States and Great Britain is attracting investors from all over the world. There currency is highly stable. When the currency depreciate in value investors are in risk of losing their investment.

    Though trading on financial markets involves high risk, it can still generate extra income in case you apply the right approach. By choosing a reliable broker such as InstaForex you get access to the international financial markets and open your way towards financial independence. You can sign up here.


  6. The Following User Says Thank You to Kenehiz For This Useful Post:

    dtvade (01-19-2020)

  7. #4 Collapse Post
    I just can't quit pips!
    I am:
     
    Yusfunoble has a reputation beyond repute Yusfunoble has a reputation beyond repute Yusfunoble has a reputation beyond repute Yusfunoble has a reputation beyond repute Yusfunoble has a reputation beyond repute Yusfunoble has a reputation beyond repute Yusfunoble has a reputation beyond repute Yusfunoble has a reputation beyond repute Yusfunoble has a reputation beyond repute Yusfunoble has a reputation beyond repute Yusfunoble has a reputation beyond repute Yusfunoble's Avatar
    Posts
    4,935
    Accumulated bonus
    3567 USD (What is this?)
    Thanks
    3,882
    Thanked 4,304 Times in 2,430 Posts
    SubscribeSubscribe
    Subsribed 2

    Default This post is sponsored by a content payout program available to anyone to participate.

    The coming in of foreign direct investment are significantly beneficial for a countryís economic growth, however the global market for foreign direct investment has been more competitive than before. Foreign direct investment is a foreign flow of capital that gives the host company the post over international affiliates. Over the last five decades, foreign direct investment is increasingly known as a significant tool for resource to move across geopolitical zones to advance economic efficiency, manufacturing and foreign competitiveness. The important roles of foreign direct investment, a lot of resources has been put into research to ascertain the factors that affects foreign direct investment coming into nations irrespective of the state of the market.

    Though trading on financial markets involves high risk, it can still generate extra income in case you apply the right approach. By choosing a reliable broker such as InstaForex you get access to the international financial markets and open your way towards financial independence. You can sign up here.


  8. #5 Collapse Post
    FX Super Hero
    I am:
     
    donimole247 has much to be proud of donimole247 has much to be proud of donimole247 has much to be proud of donimole247 has much to be proud of donimole247 has much to be proud of donimole247 has much to be proud of donimole247 has much to be proud of donimole247 has much to be proud of donimole247 has much to be proud of donimole247's Avatar
    Posts
    1,159
    Accumulated bonus
    345 USD (What is this?)
    Thanks
    865
    Thanked 1,362 Times in 658 Posts
    SubscribeSubscribe
    Subsribed 2

    Default This post is sponsored by a content payout program available to anyone to participate.

    Normally in a free economy, exchange rate is determined through the market forces of demand and supply along with this the demand for a currency is influenced by the interest rate, economic growth, inflation, speculation,change in competitiveness, relative strength of other currency, balance of payments, debt, recession etc. If FDI increases in a country then it causes an increase in supply of foreign exchange in the country so that the rate of foreign exchange falls in that country vis-a-vis. Monetary policy, fiscal policy, exchange rate regime. As you can probably gather, each of these things I've mentioned that impacts the supply of and demand for a currency is driven by a whole set of other factors. Often, each of these factors will be driven by the other factors mentioned as well.
    Unfortunately, nearly everything impacts the demand for a currency. Expectations about future movements. Trade flows in and out of the country. Capital flows in and out of the country. Interest rates, price levels, changes in risk evaluations of currency speculation and financial assets.

    Though trading on financial markets involves high risk, it can still generate extra income in case you apply the right approach. By choosing a reliable broker such as InstaForex you get access to the international financial markets and open your way towards financial independence. You can sign up here.


  9. #6 Collapse Post
    My charts talk to me!
    I am:
     
    Tehseen is a splendid one to behold Tehseen is a splendid one to behold Tehseen is a splendid one to behold Tehseen is a splendid one to behold Tehseen is a splendid one to behold Tehseen is a splendid one to behold Tehseen is a splendid one to behold Tehseen's Avatar
    Posts
    1,037
    Accumulated bonus
    896 USD (What is this?)
    Thanks
    834
    Thanked 958 Times in 538 Posts
    SubscribeSubscribe
    Subsribed 2

    Default This post is sponsored by a content payout program available to anyone to participate.

    Foreign direct investment is an international flow of capital that provides a parent company or multinational enterprises with control over foreign affiliates. Since the early 1980s foreign direct investment is increasingly recognized as an important instrument for resource to flow across national borders to improve economic performance industrial and international competitiveness and exports. In a perfectly competitive economy there would be no FDI but researchers now tend to use imperfect and asymmetric information of the market characteristics to explain FDI flows. Given these significant roles of FDI several studies have tried to determine the factors that influence FDI inflows into countries regardless of what the markets are.

    Though trading on financial markets involves high risk, it can still generate extra income in case you apply the right approach. By choosing a reliable broker such as InstaForex you get access to the international financial markets and open your way towards financial independence. You can sign up here.


  10. The Following User Says Thank You to Tehseen For This Useful Post:

    Unregistered (1)

  11. #7 Collapse Post
    MT5 Resident
    I am:
    ----
     
    bigani has a reputation beyond repute bigani has a reputation beyond repute bigani has a reputation beyond repute bigani has a reputation beyond repute bigani has a reputation beyond repute bigani has a reputation beyond repute bigani has a reputation beyond repute bigani has a reputation beyond repute bigani has a reputation beyond repute bigani has a reputation beyond repute bigani has a reputation beyond repute bigani's Avatar
    Posts
    6,504
    Accumulated bonus
    2251 USD (What is this?)
    Thanks
    1,157
    Thanked 3,317 Times in 1,387 Posts
    SubscribeSubscribe
    Subsribed 0

    Default This post is sponsored by a content payout program available to anyone to participate.

    When investors comes into an economy with their investment they want to be sure they can be able to pull that same funds out whenever the need arises,nobody will invest in an economy that is not stable,an economy where the exchange fluctuates to a large degree will definitely not benefit from direct investment very much,if the rate at which investors brings funds into an economy increases it means they will need more local funds to make exactly the same amount of money they brought in,and that will discourage a lot of investors from coming into such economy,exchange rate must fluctuates normally but it is the degree that is more important here.


  12. #8 Collapse Post
    Forum Master
    I am:
    ----
     
    dtvade has a reputation beyond repute dtvade has a reputation beyond repute dtvade has a reputation beyond repute dtvade has a reputation beyond repute dtvade has a reputation beyond repute dtvade has a reputation beyond repute dtvade has a reputation beyond repute dtvade has a reputation beyond repute dtvade has a reputation beyond repute dtvade has a reputation beyond repute dtvade has a reputation beyond repute dtvade's Avatar
    Posts
    7,736
    Accumulated bonus
    6449 USD (What is this?)
    Thanks
    11,486
    Thanked 20,793 Times in 3,789 Posts
    SubscribeSubscribe
    Subsribed 1

    Default This post is sponsored by a content payout program available to anyone to participate.

    Foreign Direct Investment (FDI) has to do with a body or a government having an establishment outside its own country.It is good to know that the aim of this is to make profits,establish a good trade relationship and so on.From the outset there must have been projections on what the profits and the investments would be and this would have been put on a record.This would have been done with a particular exchange rate and if for any reason there is a kind of instability in the exchange rate it make it very difficult to have a good and reliable projection at any point in time.This is one of the factors that lead to the discouragement of foreign direct investment because it makes it difficult to handle payment of loans and the like

    Though trading on financial markets involves high risk, it can still generate extra income in case you apply the right approach. By choosing a reliable broker such as InstaForex you get access to the international financial markets and open your way towards financial independence. You can sign up here.


  13. #9 Collapse Post
    FX Vampire
    I am:
    ----
     
    Eruwu has much to be proud of Eruwu has much to be proud of Eruwu has much to be proud of Eruwu has much to be proud of Eruwu has much to be proud of Eruwu has much to be proud of Eruwu has much to be proud of Eruwu has much to be proud of Eruwu has much to be proud of Eruwu has much to be proud of Eruwu's Avatar
    Posts
    1,793
    Accumulated bonus
    1491 USD (What is this?)
    Thanks
    1,164
    Thanked 2,672 Times in 847 Posts
    SubscribeSubscribe
    Subsribed 0

    Default This post is sponsored by a content payout program available to anyone to participate.

    The truth of the matter is that nobody is willing to invest in an economy that does not have a stable exchange rate.the instability of the exchange rate between a country can actually make it possible for foreign direct Investments to come into the country or it can change the way potential investors and the reason is because everybody wants to be a bad investment that they've made into a given country, that but investors have made effort to actually reverse into an economy will mean that they are sure that the investment will need something in return but if they sense that there is danger in the economy that they are invested in then they are going to pull out everything that they have invested.

    Though trading on financial markets involves high risk, it can still generate extra income in case you apply the right approach. By choosing a reliable broker such as InstaForex you get access to the international financial markets and open your way towards financial independence. You can sign up here.


  14. #10 Collapse Post
    FX Zombie
    I am:
    ----
     
    Forex student has a reputation beyond repute Forex student has a reputation beyond repute Forex student has a reputation beyond repute Forex student has a reputation beyond repute Forex student has a reputation beyond repute Forex student has a reputation beyond repute Forex student has a reputation beyond repute Forex student has a reputation beyond repute Forex student has a reputation beyond repute Forex student has a reputation beyond repute Forex student has a reputation beyond repute Forex student's Avatar
    Posts
    2,296
    Accumulated bonus
    198 USD (What is this?)
    Thanks
    1,635
    Thanked 4,401 Times in 2,029 Posts
    SubscribeSubscribe
    Subsribed 1

    Default This post is sponsored by a content payout program available to anyone to participate.

    Forex trading business exchange about the marketing skills in Forex have a better conversation about reading this business image lots of planning availability is that one is 40 corporation and enjoy with motivation confidence interval qualities about the market so have a better learning a better confidence about motivation and enjoy with their learning and planning availability in Forex

    Though trading on financial markets involves high risk, it can still generate extra income in case you apply the right approach. By choosing a reliable broker such as InstaForex you get access to the international financial markets and open your way towards financial independence. You can sign up here.


Reply to thread
Page 1 of 2 1 2

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts