تقييم دور مؤشرات الحوكمة في جذب الاستثمار الأجنبي المباشر في الجزائر

Abstract

This study sought to determine the impact of governance indicators onattracting foreign direct investment (FDI) in Algeria over the period 1996–2023. To achieve the objective of examining both short-run and long-run effects, a set of econometric approaches and statistical tools were employed. Specifically, a model (ARDL) methodology, incorporating a group of explanatory variables represented by governance indicators - government effectiveness, regulatory quality, political stability, and control of corruption - in addition to the consumer price index (inflation) as independent variables, while inward foreign direct investment was considered the dependent variable. The findings revealed the existence of a cointegrating relationship among the study variables. Moreover, a long-run relationship was found between regulatory quality and foreign direct investment: increase in FDI. The study also indicated a positive short-run relationship between government effectiveness and FDI, and a negative instantaneous relationship between political stability and FDI inflows