The role of foreign direct investment (FDI) in economic growth has been analyzed in various contexts. It is presumed as an important mean of obtaining capital, technology, skilled management, improved marketing know-how and outlets for non- traditional exports. The link between FDI and trade follows two channels. First, the countries that are more open are more likely to attract FDI, where the degree of openness means the size of trade relative to GDP. Second, FDI can affect trade through technology transfer. Current research focuses on the relationship among FDI, international trade and...