அகாடமி ஆஃப் அக்கவுண்டிங் அண்ட் ஃபைனான்சியல் ஸ்டடீஸ் ஜர்னல்

1528-2635

சுருக்கம்

The Determinants of Foreign Direct Investment: Empirical Investigation from Kingdom of Saudi Arabia

Jihen Bousrih, Kolthoom Alkofahi

The study aims to investigate the relation between the foreign direct investment (FDI) and some selected economic indicators such as economic growth, robustness of the capital market and the employment. We apply a VECM model over the period 1990-2019 to study the short run and long run relation between the selected variables. After testing the robustness of the model, the results were significant and supportive for the determinants of FDI. The foreign direct investment is affected by several factors. The paper’s findings suggest a significant long run relationship between FDI, robustness of the capital market and employment. We conclude an insignificant relation between FDI and economic growth in Saudi Arabia.

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