The role of FDI in building integrated resilience of regional development during economic crises

The purpose of this study is to explore how foreign direct investment (FDI) enhances regional economic resilience, particularly during economic crises. Using a comparative approach, the study analysed the responses of foreign-invested entities versus domestically funded entities during the 2020 pandemic crisis. Findings reveal that, while both groups experienced investment and revenue declines, foreign-invested entities showed significantly less contraction and demonstrated stronger post-crisis growth, surpassing pre-pandemic levels. This indicates that FDI presence bolsters regional stability and adaptability in the face of economic disruptions. Limitations include a focus on a single crisis event, suggesting further research across varied economic conditions. Practical implications highlight FDI’s potential in policy strategies aimed at building regional resilience. The study contributes original insights into FDI’s role in economic stabilisation, offering value to policymakers and regional development stakeholders.