Hello Dabasmita,

Probably this paper, and the references it contains, will be helpful to you

Arif, U., Arif, A. & Khan, F.N. Environmental impacts of FDI: evidence from heterogeneous panel methods. Environ Sci Pollut Res 29, 23639–23649 (2022). https://doi.org/10.1007/s11356-021-17629-6

You can study the impact of FDI on the environment under the emblem of Pollution Haven't Hypothesis. This hypothesis argues that developed countries relocate their dirty production to developing countries with lax environmental regulations and lead to increase in environmental pollution in such countries. If you can validate (or invalidate )Pollution Haven hypothesis in a country, you can look at the sectors receiving most FDI to check the environmental costs (or otherwise benefits)by utilising different indicators say CO2 emissions, ecological footprint, load capacity factor, environmental performance index and as such. This can be a good opening to open the research doors in this area. You can later look sector wise or maybe industry wise as well.

Dear Debasmita Dey ,

The sensitivity of the country that makes and receives direct foreign investment to environmental issues is important. In this context, information such as legal regulations and sectors invested in may be important.

Sefa Özbek Thanks.

Yawar Ahmad Dar Thanks for your thoughts and suggestions..

Fernando Merino ,Quite an insightful paper, Thanks

Debasmita Dey You can also review one of our recently accepted studies. "https://www.frontiersin.org/journals/environmental-science/articles/10.3389/fenvs.2025.1513158/abstract"

Thanks Sefa Özbek ! Insightful paper!

Dear Debasmita Dey

1) https://dergipark.org.tr/en/download/article-file/2538031

2) https://www.frontiersin.org/journals/environmental-science/articles/10.3389/fenvs.2025.1513158/abstract

you can take a look at her work.

best regards.

FDI can lead to environmental degradation through resource overuse, pollution, and lax environmental enforcement in host countries—a concept known as the "pollution haven" hypothesis—making it a rich area for further empirical research into regulation, green FDI, and sustainability incentives.

FDI can harm the environment via pollution havens (lax local regulation attracting dirty industries), resource depletion, and weak enforcement leading to biodiversity loss; conversely green FDI and technology transfer can improve outcomes, so research opportunities abound: comparative case studies across regulatory regimes, firm-level polluting behavior, causal identification of FDI’s environmental effect using quasi-experiments, and policy evaluations of environmental clauses in investment treaties would all be valuable and policy-relevant