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Why do governments try to attract …

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Why do governments try to attract more foreign investment?

Posted by Rahul Nagraj 5 years, 11 months ago

CBSE > Class 10 > Social Science

1 answers

Yogita Ingle 5 years, 11 months ago

Governments try to attract more foreign investment for the following reasons
(i) It helps in improving the financial condition of the people by accelerating growth of the economy.
(ii) Foreign investments create new job opportunities in the country, direcdy as well as indirecdy in support services like transportation.
(iii) The government gains additional taxes by taxing the profits made from foreign investments.

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CBSE > Class 10 > Social Science