Foreign direct investment in Arab countries

Foreign direct investment in Arab countries

Prof. Dr. Moustafa El-Abdallah Alkafry

The current international business environment is characterized by fierce competition for foreign capital among different countries. As a result of the important role played by foreign direct investment in providing the required funding for the establishment of investment projects and transfer of technology and contribute to the creation of more job opportunities and to strengthen the rules of production and export and improve the skills and administrative expertise and achieve competitive advantages of the national economy and raise levels of income and living.

In this context, countries have been quick to create an attractive investment environment, and competition among countries has intensified to attract foreign investments by removing barriers and obstacles that hinder their way and giving them the incentives, benefits and guarantees that facilitate their entry into the local market. For foreign investors.

The concept and definition of foreign direct investment: [1]

Foreign direct investment (FDI) is defined as an international investment that reflects the acquisition by a resident entity of a company, institution or bank in an economy of a permanent interest in an institution resident in another economy. The “direct investor” entity, and the institution under the term “direct investment institution.” The permanent interest involves a long-term relationship between the direct investor and the enterprise, in addition to the investor having a significant degree of influence in the management of the enterprise. Except which led to the establishment of the relationship between the investor and the institution, but also all subsequent transactions between them, and all transactions between the affiliated institutions, whether contribution or non-contribution). This definition is consistent with the definition of the United Nations Conference on Trade and Development (UNCTAD) and the OECD concept.  [2]

The Balance of Payments Statistics Manual and the local statisticians are the 10% approved as an international standard for the distinction between direct investment and other types of capital flows, in order to facilitate international comparisons of foreign direct investment statistics published by countries around the world.

Forms of FDI:

Foreign direct investment takes several forms: [3]

  1. 1 – Joint ownership projects (joint investment): These projects are common between the foreign investor and the local investor, and varying rates, determined in accordance with the agreement of partners, and according to the laws governing the ownership of foreigners. [4]
  2. 2 – Projects wholly owned by foreign companies in the host economy: This form of investment allows the foreign element full control in decision – making, so many countries do not like it, fearing that it leads to dependence and economic dominance by the foreign investor.
  3. 3 – Multinational companies: companies that have many projects, in different countries of the world, where these companies are characterized by the magnitude of its activities and activities, “It can be said that foreign direct investment and multinational companies are inseparable, economists used to combine them in a tandem. [5]

The phenomenon of foreign direct investment through multinational companies, or so-called transnational corporations, is one of the most prominent phenomena in international economic relations over the last three or four decades. [6

Foreign direct investment institutions:

A direct investment institution shall be defined as a joint stock or non-contributory enterprise in which the direct investor resident in another economy owns 10% or more of the ordinary shares or voting power (in the case of the contributing corporation) or the equivalent thereof (in the case of a non-contributory enterprise). Direct investment institutions include three types: [7]

  1. Affiliated or Affiliated Institutions where the non-resident investor owns more than 50% of the ordinary shares or the voting power and reserves the right to form or change the Board of Directors of the Direct Investment Corporation.
  2. The associates, where the non-resident investor owns 10% – 50% of the ordinary shares or the voting power of the direct investment institution.
  3. Branches, which are non-wholly-owned or partnership-owned, either directly or indirectly with a non-resident third party. Branches take one of the following forms:
  • Permanent branch or representative office of the foreign investor.
  • A non-shareholding company owned jointly by a number of foreign investors.
  • Land, buildings, housing units or immovable equipment directly owned by a foreign resident investor.
  • Movable equipment operating within an economy other than a state economy shall establish the foreign investor for a period of at least one year (such as ships, aircraft, and oil and natural gas exploration equipment).

Foreign Direct Investor:

A direct investor may be an individual, private or public institution, a non-contributor or a group of individuals or institutions acting as a unit, governments or government agencies, an enterprise for the management of inheritance funds or other organizations that hold part of the ownership of direct investment institutions In a country other than the state of direct investor residence.

Foreign direct investment capital:

The elements of direct investment capital transactions are divided according to the direction of the movement of capital (direct investment abroad from a resident investor in the economy prepared for the statement, and direct investment in the economy prepared for the statement from an investor residing abroad). The main components of direct investment flows are:

  • Equity Capital, which includes equity interests in branches, all shares in subsidiaries and associates, and other capital contributions.
  • Reinvested earnings, including the share of the direct investor (by its direct share of ownership) of the revenue not distributed by subsidiaries and associates as dividends, and its share in the revenues of the branches not transferred to it. These reinvested returns are treated as if they were new flows.
  • Intra-Company Loans. This item includes the borrowing or lending of funds, including debt securities and supplier credit, between the direct investor on the one hand, affiliates and affiliates and branches on the other. Loans granted by direct investors to direct investment institutions and vice versa are classified under this sub-item.

Effects of foreign direct investment on host economies: [8]

There is still debate among economists about the importance of foreign direct investment in the host country’s economy. The foreign capital recruitment team supports the need for countries and another group warns against encouraging it. It sees it as a kind of new colonialism, the economic surplus of the developing world. We can identify the most important potential impacts of foreign direct investment in the host country’s economy on the potential positive effects of foreign direct investment and the possible negative effects of FDI.

Possible positive effects of FDI: [9]

  It is not wise to reject foreign direct investment and portray it as a pervasive evil that threatens the economic independence of Islamic countries. These investments have potential advantages if they are better directed and monitored.

  1. FDI inflows are not a burden on the host economy, such as payments compared to external loans, and are therefore a viable alternative to foreign loans.
  2. Foreign direct investment contributes to filling four major gaps in the host country’s economy: [10]
  3. the domestic savings gap required to finance ambitious investment programs;
  4. The foreign exchange gap needed to import the machinery, equipment and technical expertise needed for the development process.
  5. The technological gap to meet the needs of developing countries of machinery, equipment, expertise, technical, organizational and marketing knowledge.
  6. (D) The gap between public revenues and public expenditures, where foreign investments result in new revenues for the host country, in the form of customs taxes and income taxes, which increase their spending potential and thereby bridge the revenue gap. [11]
  7. Foreign investment shall contribute to the optimal utilization of the resources of the host State.
  8. Foreign direct investment contributes to improving the balance of payments by providing capital and technology to the host country, which are essential for economic development in developing countries.
  9. Foreign direct investment contributes to the creation of a range of external savings and a range of social benefits to the host country’s economy. (Increase social capital, reduce local production costs, produce some of the local production needs, open up new markets to host country exports, enjoy the advantages of economies of scale, increase value added, increase operating standards and efficiency in the host economy). New job opportunities that contribute to solving the unemployment problem).

Possible negative effects of FDI:

Indeed, dependence on foreign direct investment (FDI), which is often carried out by multinational corporations, is not in itself a good thing, but it has several criticisms:

  1. The difficulty of the strategy of the foreign investor with the strategy of development in developing countries, in terms of investment priorities, where foreign investments in developing countries may be directed towards the marginal sectors, which generate a profitable and fast and do not serve the development process properly, Commercial, banking, etc., and may move towards the production of a certain type of primary product, destined for export to the country from which the capital is poured.
  2. The imbalance of power relations between a giant international company and a developing country leads to unequal bargaining between them. The foreign investor has more monopoly power and financial and technological capabilities than most developing countries, resulting in injustice and prejudice in the rights and gains of the latter, Where a foreign investor may impose a heavy price for technical knowledge. [12]
  3. The decision-making of multinational companies in the host country leads to a tendency to import materials, goods, human resources and other factors of production from the company’s foreign projects abroad, even though they exist in the domestic market of these companies.
  4. Foreign direct investment may adversely affect the balance of payments of developing countries as a result of the conversion of all or most of their profits abroad.
  5. FDI can compete with domestic industries and is in a weak competitive position, which could result in recession or collapse of emerging or small-scale national industries.
  6. Foreign direct investment can contribute to the exacerbation of environmental pollution by settling it in some environmentally polluting activities and industries such as extractive industries, petrochemical industries, cement industry and fertilizers.

The importance of foreign direct investment in the economies of Arab countries:

Foreign direct investment is of great importance in the economies of the Arab countries due to the lack of sources of financing of investment projects in most of them, in light of the rising indicators of indebtedness and inflation of the costs associated with borrowing from the outside world and the debt service figures exceed the same amount of debt. Therefore, the opportunities to overcome the shortage and lack of sources of funding are limited to attracting more foreign direct investment on the one hand and stimulate domestic investment.

FDI contributes to strengthening national capacities for national production and export and facilitating the integration of the national economy into the world economy. Therefore, the efforts of agencies and agencies to promote investment in any country to attract more investment both domestic and foreign. The plan to attract foreign direct investment focuses on the following elements:

  • To highlight the competitive advantages of each country and to identify sectors and activities that enjoy competitive advantages.
  • Targeting investment-exporting countries.
  • Encourage partnerships between local and foreign institutions.
  • Provide the necessary care for foreign investors.
  • Establish an appropriate legislative and institutional framework for the business environment.

To achieve these objectives:

  • Continued political and social stability and a modern quality of life.
  • Advanced human development.
  • Emerging integration in the global economy.
  • Advanced infrastructure.
  • Effective institutional framework and simplified procedures for corporate creation.

Arab countries seek to attract foreign direct investment, as a means of financing comprehensive and sustainable development, which has become a major goal pursued by these countries, in order to increase their national income, and thus increase the average per capita income and improve the standard of living. Arab governments are focusing on financing modern development projects by attracting more foreign direct investment. In addition, foreign direct investment contributes to reducing the balance of payments constraint and avoiding recourse to external debt. However, the empirical evidence and evidence available – especially those related to the experience of modern industrial countries with rapid growth – do not indicate a significant contribution to foreign direct investment in the development of these countries.

Arab countries have been keen to encourage the participation of foreign investors in productive and service investment projects. The initiatives and reforms have been diversified to provide an appropriate framework for business to become a distinctive destination for foreign investments. Despite a sometimes unfavorable global climate characterized by increased competition to attract foreign investment, Tunisia has been able to strengthen its capacity to attract foreign direct investment, as illustrated by the following results:

  • The high proportion of foreign investment of GDP.
  • The volume of FDI increased.
  • Attract foreign investment in new projects that did not exist in the past.
  • Technology import and localization.
  • The number of institutions with foreign participation increased
  • The increasing contribution of foreign direct investment to the creation of new jobs.

FDI trends at the global and Arab levels:

The World Investment Report 2009 issued by the United Nations Conference on Trade and Development (UNCTAD), in cooperation with the Arab Organization for Guarantee Investment and Export Credit in Kuwait, revealed FDI trends at the global and Arab countries according to the following: [13]

  • The outlook for global FDI remains bleak as a result of the worsening global financial crisis in 2008, the report said.
  • The report pointed to a decline in foreign direct investment flows by 14.2% reaching about 1700 billion US dollars compared to about 2000 billion US dollars in 2007.
  • The report highlighted that the current global financial crisis has changed the distribution map of foreign direct investment flows. The share of developing countries and economies in transition from the global FDI inflows increased sharply to 43% of the world total in 2008 at a value of US $ 735 billion, 620.7 for developing countries and 114.3 billion for developing countries.
  • The report confirms that the increasing liquidation of investments by transnational corporations around the world, which usually take the form of repatriation of investments or reverse loans among parent companies, is one of the most important factors contributing to the decline in global FDI flows.
  • Future prospects for transnational corporations are pessimistic about the prospects for global FDI in 2009. And turn into more optimistic expectations for the years 2010 and 2011, as confirmed by the results of the UNCTAD Global Investment Outlook Survey 2009-2011 on investments spent in 2008.

Foreign direct investment in the Arab countries has undergone drastic changes since the end of 2008 as any other economic activity. The current global economic and financial crisis is the worst in 60 years, compounding the concern of non-national companies for investment and external expansion. This has led to a decline in profits, lack of financial resources, reduced market opportunities and the severity of the apparent economic recession that has led to a decline in foreign direct investment. Which relies heavily on global investments to finance their domestic growth and job creation.

Global reports have shown the significant negative impact of the global financial and economic crisis on foreign direct investment (FDI) of non-national companies, causing a significant decline in the expectations of multinationals, regardless of the country of activity and across all sectors. Non-national companies expected a gradual recovery process to begin slowly in 2010 and then regain momentum and momentum in 2011. This is evidenced by the existence of preferential tendencies such as the growth of internationalization of companies across borders as the acute effects of the current crisis begin to ease.

The following table shows FDI flows to Arab countries for 2006 (US $ 1 billion):

Source: Al-Jazeera, Dr. Belkacem Al-Abbas, an expert at the Arab Planning Institute in Kuwait, the role of Arab investments in moving the economy.

( Despite the efforts of Arab governments to attract foreign capital, the sharp competition between countries for these funds and the failure of most Arab governments to make radical and deep reforms that allow the improvement of the investment climate and business through the strengthening of governance and accountability and the fight against corruption and bureaucracy and the use of good policies, All of which were reflected in poor performance in the field of attracting foreign direct capital, not to mention foreign investment in the Arab securities markets, compared to the potential of these potential countries). [14]

The FDI performance index, prepared by the United Nations Trade and Development Agency (UNCTAD), shows the level of performance and potential in Arab countries as follows: [15]

  • Bahrain, Qatar, Jordan and the UAE are among the leading performers with high performance and high potential.
  • Algeria, Kuwait, Libya, Oman and Saudi Arabia are characterized by low performance despite high potential.
  • Egypt, Morocco and Sudan have outperformed their potential
  • Syria suffers from lack of performance and Yemen suffers from lack of performance and possibilities.

According to UNCTAD’s World Investment Report 2007, Arab countries attracted $ 62.2 billion in 2006 out of $ 1,300 billion, or 4.7 percent of the total.

This proportion, which is modest, represents a significant improvement over the past. The flow of foreign investments to the Arab region during the period 1992-1997 reached only $ 3.9 billion annually, representing 1.25% of the total global investments. The improvement in the attractiveness of foreign investments to the employment of Arab governments is due to investment promotion policies in addition to the growing financial surpluses of the Arab oil countries, which feed the inter-Arab investments.

The number of foreign direct investment projects in the Arab countries in 2006 reached 11813 projects and the value of foreign direct investment flows reached about 1300 billion dollars during the same year. The developed countries accounted for more than 83% of the total number of projects while 44% of them were acquired. In other words, the number of foreign direct investment projects originated mostly in developed countries and mostly went to developing countries. The majority of these parent companies are in developed countries, with more than 74%, while most of their affiliates in developing countries are 52%.

The following table shows the percentages of FDI stock

as a percentage of GDP for 2006:

Source: Al-Jazeera, Dr. Belkacem Al-Abbas, an expert at the Arab Planning Institute in Kuwait, the role of Arab investments in moving the economy.

Foreign direct investment contributes to the financing of the development process in the Arab States, the creation of employment opportunities and the expansion of production, especially in the manufacturing and services sectors. The share of foreign direct investment in total capital formation averaged 12.6% in 2006, while foreign capital stock to GDP reached 25% in the same year. These ratios vary sharply between the different countries and regions of the world. [16]

The following table shows the ratio of the stock of Arab investments

To the total stocks of foreign investments 2006:

Source: Al-Jazeera, Dr. Belkacem Al-Abbas, an expert at the Arab Planning Institute in Kuwait, the role of Arab investments in moving the economy.

FDI inflows to Arab countries in 2006 rose more than two and a half times compared to 2004, which is 1.7 times higher than the global level and far better than the 1.3 per cent increase in foreign direct investment in developing countries. Arab countries indicate a relative enrollment and increase in the share of Arab countries in the investments directed to developing countries, which in 2004 did not exceed 84% and reached 16.4% in 2006.

Inter-Arab investments:

Arab inter-Arab investments accounted for 28% of the total foreign investments received in the Arab region, amounting to 17.58 billion dollars in 2006, while the total accumulated stock during the last ten years more than eighty billion dollars, which is a fraction of the Arab financial resources deposited in foreign banks, Trillion and trillion and a half trillion dollars. With the deteriorating investment environment and high restrictions on business, it is difficult to attract such funds that contribute to the financing of development in developed countries and provide confidence and confidence to depositors and investors. World Bank data on business restrictions indicate that Arab countries are suffering from a worsening business environment, rising costs and increased risks. [17]

 Arab investments also contribute significantly to the direct investment flows of a number of Arab countries, accounting for more than 71% of the total foreign investment stock in Saudi Arabia. This percentage is 48% in Lebanon, 35% in Tunisia, 32% in Syria, 30% in Libya, 28% in Sudan, 20% in Palestine and 18% in Amman. , Jordan 10% and Bahrain 8%.

Arab inter-Arab investments are primarily driven by the services sector, with more than 53% of the total of US $ 17.5 billion and 45% of the industry. The interest in the services sector is due to the focus of investments on lucrative projects in the tourism and leisure sector, as well as the rising real estate sector, which increases the attractiveness of investment. However, this type of investment is not common to the Arab countries. Arab investments in Jordan focus on the industrial sector as well as the same in Sudan. Countries in which services are concentrated are Saudi Arabia, Lebanon, Egypt and Tunisia.

The following table shows the percentage of the energy rate in the Arab world:

Source: Al-Jazeera, Dr. Belkacem Al-Abbas, an expert at the Arab Planning Institute in Kuwait, the role of Arab investments in moving the economy.

Arab investments are characterized by a highly heterogeneous distribution among the Arab countries. Each Arab country has a distinct Arab market, with investments in the first class. For example, Jordanian, UAE, Bahraini, Syrian and Lebanese investments tend to target Saudi Arabia. Saudi investments are concentrated in several Arab countries: Jordan, Sudan, Syria, Lebanon, Morocco and Yemen.

Foreign direct investment in the Syrian Arab Republic:  [18]

The book value of the foreign direct investment (FDI) position is calculated based on six key elements of the Company’s balance sheet:

(Foreign investor’s share of share capital + foreign investor’s share of retained earnings + long-term liabilities + short-term liabilities or accounts payable to the group of direct investors – short-term asset claims or direct investor accounts – long-term assets claims to the direct investor ).

The value of foreign direct investment in Syria reached (75022338) thousand Syrian Pounds for (140) companies in which the data or the six data mentioned previously, including (1235453) thousand Syrian Pounds.

We can illustrate the most important developments in foreign direct investment in Syria through the following indicators: [19]

  • Most FDI projects in Syria were concentrated in the governorates of Damascus, Aleppo and Damascus, with 65.5% of the total number of projects. Damascus 33.7% Aleppo 18.5% Damascus countryside 16.3%.
  • The distribution of foreign direct investment projects in Syria by economic activity.
  • With regard to the number of FDI workers in Syria and their distribution by categories, the highest percentage of workers was from 1 to 5 workers and accounted for 54.5% of the total number of projects.
  • Foreign direct investment projects in Syria by nationality of the investor were distributed as follows: Syrian investors with 32.8% Jordanians 8.8% Iraqis 7.6% and Saudis by 7.1%.
  • The largest capital of foreign direct investment projects in Syria according to the nationality of the investor after the Syrian investors Qatari and Kuwaiti and then British and Canadian citizenship.

Foreign direct investment (FDI) ratio of GDP:

Syria’s gross domestic product (GDP) in 2008 reached SYP 229,159 million and the ratio of foreign direct investment to GDP reached 3.27%.

Foreign direct investment ratio of capital formation:

The value of the capital formation in Syria in 2008 amounted to about 408725 million Syrian pounds. The percentage of foreign direct investment was 18,36%. The telecommunications sector accounted for the highest percentage (4.10%) followed by cables (2.02%).

Value of foreign direct investment shares by country of origin:

The value of shares of foreign direct investment in Syria by nationality of the investor (65367597) thousand Syrian pounds was the highest proportion of foreign investment in Syria after the Syrians are Saudi Arabia (5.95%), Jordan (5.33%) and Lebanon (4,71) %) And the value of shares is unknown nationality (27.5%).

Value of Foreign Direct Investment Shares by Economic Activity: [20]

The value of shares of FDI projects in Syria in the telecommunications sector reached the highest percentage (25.98%) of the foreign investment balance, followed by the financial intermediation sector (17.27%), the electricity supply (11.28%), (6.98%), and hotels and restaurants by (5.88%). The highest percentage of foreign direct investment was by industrial classification in the telecommunications sector (29.28%), followed by the banking sector (19.42%) and the insurance sector (10.97%).

Number of employees in FDI projects by gender: [21]

  The number of employees in foreign direct investment projects in Syria was 13,494, of whom 300 were foreign workers with 2.22%, and local workers numbered 13,194 workers with 97.77%. The percentage of female workers in foreign direct investment projects in Syria was low, where it was only 12,99%, compared to 87.01% of male workers. The highest employment rate was in oil companies by 22.4% and in tourism by 8.3% %. Noting that the total number of employees in investment companies is not enough indication as some companies did not disclose the number of employees and the pages of employment and wages are free of data and the number of companies that declared the number of workers 142 out of 178 companies included in the survey.

Value of exports and imports in FDI projects: [22]

The number of foreign direct investment companies in Syria, where data on exports were only 39, reached the highest value of exports, accounting for 24.77% of the total value of the activity of food industries. The highest percentage of imports of foreign direct investment companies in Syria in the oil companies was 67% of the total imports.

Value of spending on new technology in FDI projects

The highest expenditure on new technologies in the Syrian foreign direct investment companies in telecommunications companies amounted to 61.84% of total expenditure, followed by oil companies by 31.16%.

Foreign direct investment from an Islamic perspective: [23]

A – Investment in the language: derived from the fruit, ie, carrying trees and types of money, is said: the fruit of the man’s money: grow, and the fruit of the man: much money. [24]

B – Investment in Islamic jurisprudence: It may not be possible to identify an explicit definition of the concept of investment from the jurisprudential perspective, because of the reluctance of former jurists to use the term investment, and replace it with the word of the growing time, and the word development sometimes, and the word development at times. Al-Kasani, in his book Bada’i al-Sanayah, said in his definition of a speculative contract that “the contract of speculation is intended to raise money.” [25]

  1. The concept of FDI from a contemporary economic perspective: In general, all definitions mean that FDI is: money coming to a country other than its own, in order to obtain profit

Although the application of the provisions of Islamic law in Islamic countries is the basic guarantee to attract foreign investment, and to dispel fears in the economies of these countries, where the Islamic law emphasizes the sanctity of private property of the person, and not removed from it only if it conflicted with the public interest, That the public interest is presented to the private interest, as well as the private damage for the payment of public damage with the compensation of the owner of private property of what he derived fair compensation, for saying: “… do not underestimate people their things.”

Islamic law has provisions, principles and values ​​capable of creating an economic environment conducive to attracting foreign direct investment, which now seems important for the following reasons: [26]

  1. The lack of financial resources in many Islamic countries and their inability to carry out the development process individually in the economies of these countries.
  2. Does not represent a heavy or rigid burden on the host economy, compared to external loans, especially after the escalation of the debt crisis in the early 1980s, which has become a heavy burden on the economies of the city.
  3. The decline of “the role of the state in many countries of the world, and the trend towards market economies, which rely on attracting private investment as one of the basic mechanisms for achieving reform and economic growth.” [27]

Shariah Controls for Foreign Direct Investment:

If Islam has permitted this form of foreign financing (FDI) to the Islamic state to meet its needs and necessities, it has resorted to these restrictions and placed controls within their scope in order to protect the interests of both the state and the Muslim community. Because the opening of the door to the economy for foreign investments without proper supervision and legitimate controls in their introduction may lead to economic control over some types of activities or important sectors in the economy of the Islamic state and thus become a new colonial means to continue depleting the resources of the host economy . The situation that requires the observance of the following controls, so that foreign direct investment in the Islamic state is consistent with the Islamic view of sound: [28]

  1. There is a real need for foreign direct investment.
  2. Foreign investment shall not result in dependence on foreign countries.
  3. The need for the Islamic state to maintain exceptional conditions and special privileges.
  4. Foreign investment is subject to the principle of commitment to Halal goods and services.

There are many traditional views that emphasize that foreign contributions to local venture capital (FDI) are not generally desirable in Arab countries and should not be encouraged. However, there are other views that call for attracting more foreign direct investment And despite the agreement on the importance of foreign direct investment in the economies of the Arab countries, especially in countries that suffer from the scarcity of financial resources available, we should not deceive ourselves, and we consider FDI to carry the comprehensive solution, for each The problems facing the economies of the Arab countries, because the comprehensive and sustainable development in these countries lies primarily with the Arab countries alone, and foreign direct investment remains an integral component of local investment, not a substitute for it. [29]

All Arab statistical bodies should be invited to improve their foreign direct investment databases in line with international standards by standardizing their methodologies and developing their compilation methods so that they can be adopted in the ICP. Most Arab statistical systems do not monitor reinvested returns and loans exchanged between the parent company in the headquarters country and its subsidiaries and affiliates in the recipient countries, although both are included in the components of incoming foreign direct investment.

Prof. Dr. Moustafa El-Abdallah Alkafry

Faculty of Economics – University of Damascus

  1. Literature:
  2. Hassan Kharboush, d. Abdul Muti Rida, Investments and Finance between theory and practice, Dar Zahran Publishing, Amman, 1999.
  3. Ibrahim Bin Salameh, Private Foreign Investment in the Kingdom “SABIC Experience”, presented at a symposium on foreign private investment in the Kingdom of Saudi Arabia, Ministry of Foreign Affairs, Riyadh, 1418.
  4. Dr Abdullah Al-Salama, Foreign direct investment and developing countries, Research presented at the symposium on foreign investment in Saudi Arabia, Ministry of Foreign Affairs, Riyadh, 1418.
  5. Omar Bin Faihan Al Marzouki, Assistant Professor, Department of Islamic Studies, College of Education, King Saud University, Direct Foreign Investments from an Islamic Perspective.
  6. Faraj Ezzat, d. Ihab Nadim, Foreign direct investment and economic development in the world, Research presented at the Islamic economics conference, Al-Azhar University, 1420 H.
  7. Mustafa Sabri, Juda Chamber of Commerce, Joint Arab investments in the kingdom, Study, Studies presented at the symposium on foreign private investment in the Kingdom, Ministry of Foreign Affairs, Riyadh, 1418.
  8. Ahmed Al-Harbi, Foreign funding and the position of Islam, doctoral thesis, Umm Al-Qura University.
  9. World Investment Report 2009, United Nations Conference on Trade and Development (UNCTAD) in cooperation with the Arab Investment Guarantee and Export Credit Association in Kuwait.
  10. Dr Belkacem Al-Abbas, an expert at the Arabic Planning Institute in Kuwait, The role of Arab-Arab investments in economic mobilization, Al-Jazeera Source.
  11. Foreign direct investment research in Syria in 2008 Implementation of 2009 Central Statistics Office, Syrian Investment Office and UNDP (Syria Investment Improvement Project in Syria), Damascus, March 2010, Source all data and figures in research on foreign direct investment in Syria.
  12. Qutb Mustafa, investment regulations and controls in Islamic jurisprudence, Dar Al-Naqab for Publishing, Jordan, 1, 1420.
  13. Munir Hindi et al., University of Cairo, report on international finance in the Republic of Egypt, elaborated by 1999, p.
  14. Arab investment guarantee and corporation providing export credits – Kuwait. http://www.ecoworld-mag.com/Detail.asp?InNewsItemID=272890

[1]  – Arab investment guarantee and corporation providing export credits – Kuwait. http://www.ecoworld-mag.com/Detail.asp?InNewsItemID=272890

[2]  – In March 2007, the International Monetary Fund (IMF) published a draft of the sixth edition of the Balance of Payments Manual, which contained the international concept of foreign direct investment, replacing the fifth edition of the 1993 Handbook.

[3]  – Dr. Hassan Kharboush, d. Abdul Muti Rida, Investments and Finance between theory and practice, Dar Zahran Publishing, Amman, 1999, p. 188.

[4]  – Ibrahim Bin Salameh, Private Foreign Investment in the Kingdom, “SABIC Experience”, presented at a symposium on foreign private investment in the Kingdom of Saudi Arabia, Ministry of Foreign Affairs, Riyadh, 1418, p.

[5]  – Dr Abdullah Al-Salama, Foreign direct investment and developing countries, Research presented at the Foreign Investment Symposium in Saudi Arabia, Ministry of Foreign Affairs, Riyadh, 1418, p.

General Secretariat of the Federation of Chambers of the Arab Gulf, the role of multinational enterprises in economic development, 1989, p. 25.

[6]  –

[7]  – Source: Arab investment guarantee and corporation providing export credits – Kuwait. http://www.ecoworld-mag.com/Detail.asp?InNewsItemID=272890

[8]  – Dr. Omar Bin Faihan Al Marzouki, Assistant Professor, Department of Islamic Studies, College of Education, King Saud University, Direct Foreign Investments from an Islamic Perspective.

[9]  – Dr. Omar bin Faihan al-Marzouqi, previous source.

[10]  – Dr. Omar bin Faihan al-Marzouqi, previous source.

10 Dr. Faraj Ezzat, d. Ihab Nadim, Foreign direct investment and economic development in the world, Research presented at the Islamic economics conference, Al-Azhar University, 1420 H, p.

[11]  – Juda Chamber of Commerce, Joint Arab investments in the kingdom, Study by Mustafa Sabri, Research presented at the symposium on foreign private investment in the Kingdom, Ministry of Foreign Affairs, Riyadh, 1418, p. 140.

[12] – Dr. Ahmed Al-Harbi, Foreign funding and the position of Islam, doctoral thesis, Umm Al-Qura University, pp. 478-481.

– General Secretariat of the Union of Arabian Chambers of the Gulf, the role of multinational companies in economic development, 1989 Fayez Mohamed Ali, capital monopoly companies and control over the economies of developing countries, Dar Al-Rasheed Publishing, Bagdad, 1979, pp. 60-65.

[13]  – World Investment Report 2009, United Nations Conference on Trade and Development (UNCTAD) in cooperation with the Arab Investment Guarantee and Export Credit Association in Kuwait.

[14]  – Dr Belkacem Al-Abbas, an expert at the Arabic Planning Institute in Kuwait, The role of Arab-Arab investments in economic mobilization, Al-Jazeera Source.

[15]  – Previous source.

[16]  – Al Jazeera source, Dr. Belkacem Al-Abbas, an expert at the Arabic Planning Institute in Kuwait, the role of Arab investments in moving the economy.

[17]  – Al Jazeera source, Dr. Belkacem Al-Abbas, an expert at the Arabic Planning Institute in Kuwait, the role of Arab investments in moving the economy.

[18]  – Foreign direct investment research in Syria in 2008. Implementation 2009 Central Statistics Office, Syrian Investment Office and UNDP (Syria Investment Improvement Project in Syria), Damascus, March 2010.

[19]  – They are the source of all data and figures in research on foreign direct investment in Syria.

[20]  – Foreign direct investment research in Syria in 2008. Implementation of 2009, previous source, page 4.

[21]  – Foreign direct investment research in Syria in 2008. Implementation of 2009, Previous source.

[22]  – Previous source.

[23]  – Dr. Omar Bin Faihan Al Marzouki, Assistant Professor, Department of Islamic Studies, College of

[24]  – Dr. Omar Bin Faihan Al Marzouki, Assistant Professor, Department of Islamic Studies, College of Education, King Saud University, Direct Foreign Investments from an Islamic Perspective.

[25]  – Bride crown jewels Dictionary. The language of Arabs, 4406 material fruits.

[26]  – Dr. Qutb Mustafa, investment regulations and controls in Islamic jurisprudence, Dar Al-Naqab for Publishing, Jordan, 1, 1420, pp. 20.17.

[27]  – Dr. Omar bin Faihan al-Marzouqi, an ancient source.

[28]  – University of Cairo, international financial report in the Republic of Egypt, developed by Dr. Munir Hindi et al., 1999, p.

[29]  – Dr. Omar Bin Faihan Al Marzouki, Assistant Professor, Department of Islamic Studies, College of Education, King Saud University, Direct Foreign Investments from an Islamic Perspective.