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TRADE, INVESTMENT, AND ECONOMIC GROWTH IN INDIA: AN EMPIRICAL ANALYSIS OF THE POST-LIBERALIZATION PERIOD

📘 Volume 13 📄 Issue 6 📅 June 2026

👤 Authors

CA Sachin Darji 1 , Dr. Hemal Pandya 2
1. Research Scholar, S D School of Commerce, Gujarat University, Ahmedabad, Gujarat,India,380009,
2. Professor, Head of Department, S D School of Commerce, Gujarat University, Ahmedabad, Gujarat,India,380009,

📄 Abstract

The study evaluates India s GDP in relation to foreign direct investment, exports, and imports over the period 1991 to 2025. The results indicate very strong comovement among the macroeconomic variables, a highly significant positive export coefficient, and a significant conditional negative import coefficient in the fitted model. The statistical framework models GDP as a function of exports and imports within a trade-linked growth setting associated with liberalization and foreign investment driven transformation. The findings show that exports have a strong positive and statistically significant association with GDP, while imports display a statistically significant negative conditional coefficient in the estimated multivariate framework. The model explains the observed movement in GDP extremely well, emphasizing the close relationship between India's growth process and external-sector variables over the reform period.

🏷️ Keywords

Foreign Direct Investment GDP Growth Exports Imports India Trade Openness Liberalization Regression Analysis Economic Growth

🔗 DOI

View DOI - (https://doi.org/10.36713/epra28465)

📚 How to Cite:

CA Sachin Darji, Dr. Hemal Pandya , TRADE, INVESTMENT, AND ECONOMIC GROWTH IN INDIA: AN EMPIRICAL ANALYSIS OF THE POST-LIBERALIZATION PERIOD , Volume 13 , Issue 6, June 2026, EPRA International Journal of Environmental Economics, Commerce and Educational Management(ECEM) , Pages: 309 - 314 , DOI: https://doi.org/10.36713/epra28465

🔗 PDF URL

https://cdn.eprapublishing.org/article/1781919971976-35.EPRA28465.pdf

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