Volume 2 • Issue 3 | September, 2018

The Effects of Foreign Direct Investments, Institutions on The Sustainability of Environment in Asian Countries

Nguyen Kim Quyen, Phung Thi Cam Tu


This paper investigates the effects of foreign direct investments (FDI) and institutions on the sustainability of environment in case of Asian countries. It covers 33 Asian countries in the period 1996-2014. By General Least Squares estimation, it is found that FDI generally has the opposite effect on sustainability of environment. Interestingly, when the role of government is promoted in policy formulation and implementation, FDI turns to have the positive impact on the sustainability of environment.