Search Site

Trends banner

Oracle shares up 35%

Huge AI contracts lead to the surge.

ADCB to raise $1.66bn

The rights issue aimed at boosting growth.

EGA H1 revenue $4.11bn

Net profit before GAC $445 million.

Borouge to pay $660m H1 dividend

Its net profit for H1 was $474 million.

TAQA secures $2.31bn loan

It will be utilized in a phased manner.

Economic freedom, effective governance key to attract FDI: AMF

AGFUND has signed a MoU with the AMF to achieve sustainable development goals in the Arab region through financial inclusion.
  • The study calls for the stability of the business environment by reforming relevant laws
  • The regulatory quality index outperforms all other factors in attracting investment

To foster foreign direct investment (FDI) in Arab countries, policymakers should ensure a high level of economic freedom, the effectiveness of the governance systems and  the quality of  institutions, the Arab Monetary Fund (AMF) said in its fresh study. 

The study also called for ensuring the stability of the business environment by strengthening and reforming relevant laws and regulations, lowering the barriers to business entry, limiting risks, and improving cooperation policies.

The study titled “The Role of Economic Freedom, Governance, and Business Environment in Attracting Foreign Direct Investment to the Arab Region”, assesses the role of economic freedom indices and governance indicators in attracting FDI into the Arab region.

The study reveals that economic freedom indices like the monetary and the financial freedom indices are significantly and positively related to FDI attractiveness. Additionally, the study found that the regulatory quality index outperforms all other governance factors in attracting investment.