Economics A-Level
Foreign direct investment (FDI)
What Foreign direct investment (FDI) means in Economics A-Level, as defined for AQA.
Definition of Foreign direct investment (FDI)
Check what you remember
Read the wording for your board, then hide it and explain Foreign direct investment (FDI) in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: AQA
Investment involving significant control and a long-term interest in a foreign enterprise, often involving physical capital.
Topics that use Foreign direct investment (FDI)
- The balance of payments (AQA A-Level)
Related terms
- Balance of payments
- Capital account
- Competitiveness
- Current account
- Current account deficit
- Exchange rates
- Expenditure-reducing policies
- Expenditure-switching policies
Using Foreign direct investment (FDI) in the exam
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