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The Mediator Role of FDI in North Africa: Case of Egypt

Osama M. Badr 1 and Tahar L. Ayed 2
1. Faculty of Commerce, Tanta University, Egypt
College of Business, Umm Al-Qura University, KSA
2. School Of Commerce (ESCs), Sfax, Tunisia
College of Business, Umm Al-Qura University, KSA

Abstract—The main purpose of this paper is to examine the various factors that attract Foreign Direct Investment (FDI) in North Africa countries, in order to find answers to the following question: What are the determinants / impediments of FDI inflow to North Africa countries? The study investigates the relationship between FDI and the economic growth in the North African countries, covering the period 1961-2012. Results from the analysis suggest that FDI is explained by some economic determinants but has non- significant effect on GDP growth. The study also investigates FDI Behavior in Egypt and explaining this behavior.

Index Terms—foreign direct investment, economic growth, North Africa, Egyptian FDI behavior

Cite: Osama M. Badr and Tahar L. Ayed, "The Mediator Role of FDI in North Africa: Case of Egypt," Journal of Advanced Management Science, Vol. 3, No. 1, pp. 1-7, March 2015. doi: 10.12720/joams.3.1.1-7
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