Abstract: This study analyzes the impact of Foreign Direct Investment (FDI) on Gross Domestic Product (GDP) growth in BRICS countries using secondary data over a period of 20 years. A quantitative research approach is adopted, employing statistical tools such as correlation and regression analysis with the help of SPSS software. The study considers GDP as the dependent variable, while FDI, inflation, and exchange rate are treated as independent variables. The results indicate that FDI has a positive and statistically significant impact on GDP growth, highlighting its importance as a major driver of economic development. Inflation is found to have a negative effect, whereas the exchange rate shows a positive influence on growth. The study emphasizes that maintaining macroeconomic stability along with attracting foreign investment is essential for achieving sustainable economic growth in emerging economies.
Keywords: FDI, GDP, Inflation, Exchange Rate, Macroenvironment.
Title: Foreign Direct Investment and Economic Growth: An Empirical Analysis
Author: V.Prema, Dr. R. Kalidoss
International Journal of Management and Commerce Innovations
ISSN 2348-7585 (Online)
Vol. 14, Issue 1, April 2026 - September 2026
Page No: 745-748
Research Publish Journals
Website: www.researchpublish.com
Published Date: 14-August-2026
