A Study on the Impact of ODA and the Moderating Impact of FDI on Sustainable Economic Development in the ASEAN Region

Abstract

This study aims to find out the effect of Korea's ODA on the economic growth of the recipient country in the ASEAN region. In addition, in a situation where Korea's economic cooperation with the ASEAN region centered on the New Southern Policy and the scale of private enterprise entry are also increasing, it is verified how FDI affects the economic growth effect through ODA in the ASEAN region. This study aimed to analyze the effect of ODA on the ASEAN region by using data of ASEAN countries from 2014 to 2020. Through the research results, it was confirmed that Korea's ODA has a significant positive effect on economic growth in the ASEAN region. In addition, it was confirmed that FDI to the ASEAN region has a significant positive moderating effect on the economic growth effect of Korea's ODA. It is hoped that this study will serve as basic data for the New Southern ODA policy that can expand business activities and investment between ASEAN countries and Korea.