THE ROLE OF FOREIGN DIRECT INVESTMENT FOR ECONOMIC DEVELOPMENT IN THE MENA REGION.

The article argues that the foreign direct investment (FDI) in the Arab world did not translate to economic growth as compared to Latin America or the East Asian Tigers, among others, and that the lack of outward-orientation and democracy deficit contributed to the country's weak FDI levels. A review of the literature on FDI on the Arab world is provided. The study's methodology that used population weighted regions as the units of observation, panel dataset and results are described. The conclusion with policy implications is presented.