Speaker
Description
The sustainable economic development of the Lower Middle-Income Countries (LMICs) is the most affected by a lack of capital. However, capital flight has drawn more attention as a potential explanation for the prolonged sluggish development in LMICs for the decades. Recent literature reveals that capital flight is influenced by external debt, macroeconomic, political, governance and institutional factors. Though a good number of studies are available on the factors determining capital flight in other regions such as Sub-Saharan Africa, ASEAN nations, MENA countries, Highly Indebted Poor Countries (HIPCs) etc., however, no literature is found on the LMICs’ causes for capital flight. This study would investigate the potential determinants of capital flight from LMICs using a panel data for the periods of 2004 to 2023. The findings of the study would be a policy tools for regulators and investors in the region in designing fiscal and control mechanism to prevent capital flight from LMICs.
