Studying the Impact of Foreign Direct Investment on Economic Growth in the Kingdom of Saudi Arabia (1990 – 2023): Using the Autoregressive Distributed Lag (ARDL) Approach

Authors

  • Imad Yagoub Hamid

Keywords:

Foreign Direct Investment, Public expenditure, Tax Pressure, Fiscal Policy, ARDL model

Abstract

This study explores the impact of Public expenditure and tax pressure on foreign direct investment (FDI) in Algeria over the period 1997–2023. Using the Autoregressive Distributed Lag (ARDL) model, the analysis reveals that public spending significantly enhances FDI inflows in the long run, while tax pressure shows an insignificant negative effect. The results highlight the importance of efficient fiscal policy in attracting foreign capital. Stability tests confirm that the model coefficients are stable over time. These findings support partial acceptance of the study’s hypotheses and offer valuable insights for policymakers aiming to improve Algeria’s investment climate.

Downloads

Published

24-06-2025