The Relationship Between Economic Growth and Foreign Direct Investment in The Turkic Republics

This research examines the correlation between economic growth and foreign direct investment (FDI) data of the Turkic Republics, namely Kazakhstan, Uzbekistan, Azerbaijan, Türkiye, and Kyrgyzstan, over the period from 1993 to 2022 through a meticulous panel data analysis. The results of the panel, Fourier Toda Yamamoto test, reveal a reciprocal causality between economic growth and FDI, especially in Azerbaijan. In the case of Uzbekistan, the study finds that FDI plays a catalytic role in inducing economic growth. The panel Fourier cointegration test carried out for all the countries studied confirms a cointegration relationship among the variables in all the countries studied.