IDEAS home Printed from https://ideas.repec.org/a/taf/irapec/v27y2013i4p515-530.html
   My bibliography  Save this article

Indicators of business environment, institutional quality and foreign direct investment in Gulf Cooperation Council (GCC) countries

Author

Listed:
  • Azmat Gani
  • Almukhtar Saif Al-Abri

Abstract

This paper empirically investigates the effect of five business environment indicators and four measures of institutional quality on FDI inflows in GCC countries. The empirical results reveal that the time required to start a business, the time required to enforce a contract, the time required to register a property and the time required to resolve insolvency are negatively and statistically significantly correlated with FDI inflows. Our findings also confirm that political instability and absence of democracy, in fact, encourages FDI inflows. We conclude that the business environment strongly matters for FDI inflows into the GCC countries.

Suggested Citation

  • Azmat Gani & Almukhtar Saif Al-Abri, 2013. "Indicators of business environment, institutional quality and foreign direct investment in Gulf Cooperation Council (GCC) countries," International Review of Applied Economics, Taylor & Francis Journals, vol. 27(4), pages 515-530, July.
    • Handle: RePEc:taf:irapec:v:27:y:2013:i:4:p:515-530
    DOI: 10.1080/02692171.2012.760066
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/02692171.2012.760066
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/02692171.2012.760066?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. International Finance Corporation & World Bank, 2012. "Doing Business 2012 : Doing Business in a More Transparent World," World Bank Publications - Books, The World Bank Group, number 5907.
    2. World Bank, 2011. "World Development Indicators 2011," World Bank Publications - Books, The World Bank Group, number 2315.
    3. Imad A. Moosa, 2002. "Foreign Direct Investment," Palgrave Macmillan Books, Palgrave Macmillan, number 978-1-4039-0749-3, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Uddin, Moshfique & Chowdhury, Anup & Zafar, Sheeba & Shafique, Sujana & Liu, Jia, 2019. "Institutional determinants of inward FDI: Evidence from Pakistan," International Business Review, Elsevier, vol. 28(2), pages 344-358.
    2. Khaled Elmawazini, 2014. "FDI Spillovers, Efficiency Change and Host Country Labor Productivity: Evidence from GCC Countries," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 42(4), pages 399-411, December.
    3. Aziz, Omar Ghazy, 2018. "Institutional quality and FDI inflows in Arab economies," Finance Research Letters, Elsevier, vol. 25(C), pages 111-123.
    4. Helmi Hammami & Moez Hammami & Siriki Coulibaly & Mariem Marzouk, 2020. "Determinants of FDI attractiveness: A MCI model approach," Economics Bulletin, AccessEcon, vol. 40(2), pages 1033-1048.
    5. Mohamed Abdelaziz Eissa & Mohammed M. Elgammal, 2020. "Foreign Direct Investment Determinants in Oil Exporting Countries: Revisiting the Role of Natural Resources," Journal of Emerging Market Finance, Institute for Financial Management and Research, vol. 19(1), pages 33-65, April.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gani, Azmat & Clemes, Michael D., 2013. "Modeling the effect of the domestic business environment on services trade," Economic Modelling, Elsevier, vol. 35(C), pages 297-304.
    2. Adegoke Ibrahim Adeleke, 2014. "Fdi-Growth Nexus In Africa: Does Governance Matter?," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 39(1), pages 111-135, March.
    3. Steiner, Andreas, 2013. "The accumulation of foreign exchange by central banks: Fear of capital mobility?," Journal of Macroeconomics, Elsevier, vol. 38(PB), pages 409-427.
    4. Adugna Lemi & Sisay Asefa, 2009. "Differential Impacts of Economic Volatility and Governance on Manufacturing and Non-Manufacturing Foreign Direct Investments: The Case of US Multinationals in Africa," Eastern Economic Journal, Palgrave Macmillan;Eastern Economic Association, vol. 35(3), pages 367-395.
    5. Frietsch, Rainer & Neuhäusler, Peter & Rothengatter, Oliver, 2012. "Patent Applications – Structures, Trends and Recent Developments," Studien zum deutschen Innovationssystem 8-2012, Expertenkommission Forschung und Innovation (EFI) - Commission of Experts for Research and Innovation, Berlin.
    6. repec:elg:eechap:15325_21 is not listed on IDEAS
    7. Lise Rakner, 2012. "Foreign Aid and Democratic Consolidation in Zambia," WIDER Working Paper Series wp-2012-016, World Institute for Development Economic Research (UNU-WIDER).
    8. Samuel Fosu, 2013. "Banking Competition in Africa: Sub-regional Comparative Studies," Discussion Papers in Economics 13/12, Division of Economics, School of Business, University of Leicester, revised Jun 2013.
    9. R. Sandra Schillo & Ajax Persaud & Meng Jin, 2016. "Entrepreneurial readiness in the context of national systems of entrepreneurship," Small Business Economics, Springer, vol. 46(4), pages 619-637, April.
    10. Leonidou, Leonidas C. & Leonidou, Constantinos N. & Fotiadis, Thomas A. & Zeriti, Athina, 2013. "Resources and capabilities as drivers of hotel environmental marketing strategy: Implications for competitive advantage and performance," Tourism Management, Elsevier, vol. 35(C), pages 94-110.
    11. Chia-Lin Chang & Thanchanok Khamkaew & Michael McAleer, 2012. "IV Estimation of a Panel Threshold Model of Tourism Specialization and Economic Development," Tourism Economics, , vol. 18(1), pages 5-41, February.
    12. Clements, Tom & Suon, Seng & Wilkie, David S. & Milner-Gulland, E.J., 2014. "Impacts of Protected Areas on Local Livelihoods in Cambodia," World Development, Elsevier, vol. 64(S1), pages 125-134.
    13. Susanna M Makela & Rakhi Dandona & T R Dilip & Lalit Dandona, 2013. "Social Sector Expenditure and Child Mortality in India: A State-Level Analysis from 1997 to 2009," PLOS ONE, Public Library of Science, vol. 8(2), pages 1-10, February.
    14. Feldmann, Horst, 2012. "Banking deregulation around the world, 1970s to 2000s: The impact on unemployment," International Review of Economics & Finance, Elsevier, vol. 24(C), pages 26-42.
    15. Farla, Kristine, 2012. "Institutions and credit," MERIT Working Papers 2012-038, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    16. Ariel BenYishay & A. Mushfiq Mobarak, 2014. "Social Learning and Communication," NBER Working Papers 20139, National Bureau of Economic Research, Inc.
    17. World Bank, 2011. "Uganda - Demography and Economic Growth in Uganda," World Bank Publications - Reports 2811, The World Bank Group.
    18. Horst Feldmann, 2013. "Technological unemployment in industrial countries," Journal of Evolutionary Economics, Springer, vol. 23(5), pages 1099-1126, November.
    19. Sanna, Aimaro & Dri, Marco & Hall, Matthew R. & Maroto-Valer, Mercedes, 2012. "Waste materials for carbon capture and storage by mineralisation (CCSM) – A UK perspective," Applied Energy, Elsevier, vol. 99(C), pages 545-554.
    20. Ioana Pop & Erik Ingen & Wim Oorschot, 2013. "Inequality, Wealth and Health: Is Decreasing Income Inequality the Key to Create Healthier Societies?," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 113(3), pages 1025-1043, September.
    21. Mohamed Ali Marouani & Rim Mouelhi, 2016. "Contribution of Structural Change to Productivity Growth: Evidence from Tunisia," Journal of African Economies, Centre for the Study of African Economies, vol. 25(1), pages 110-132.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:irapec:v:27:y:2013:i:4:p:515-530. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/CIRA20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.