IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this paper

The Case of Missing Foreign Investment in the Southern Mediterranean

Listed author(s):
  • Peter A. Petri

The developing countries of the Southern Mediterranean (SOM) have missed the extraordinary surge of private international investment in recent years. Although the SOM region was an important destination for foreign direct investments, its share of world FDI has declined. In 1994, private capital represented only 37 per cent of the SOM’s capital inflows (of which nearly all went to Egypt and Morocco) compared to 76 per cent for all developing countries. There is great potential for expanding foreign investment in the region. Comparative econometric exercises in the study also suggest large gaps between actual inflows into SOM and into similar economies elsewhere. Moreover, the region’s history of emigration and capital flight have created a pool of resources that could quickly respond to opportunities. This paper identifies a cluster of policy initiatives that could help increase private capital inflows: domestic measures — including privatisation, trade liberalisation, and currency ... Les pays en développement du Bassin sud-méditerranéen n’ont pas profité de l’expansion remarquable des investissements privés internationaux de ces dernières années. Bien que la région ait été précédemment une destination privilégiée pour les investissements directs étrangers, sa part dans les IDE mondiaux a décliné. Ainsi, en 1994, les capitaux privés représentaient 37 pour cent seulement des entrées de capitaux dans la région (et ils se sont concentrés essentiellement sur l’Égypte et le Maroc), alors qu’ils atteignent 76 pour cent pour l’ensemble des pays en développement. Il existe donc un vaste potentiel pour le développement de l’investissement étranger dans la région. Les comparaisons économétriques effectuées dans l’étude montrent également l’importance des différences entre les entrées actuelles de capitaux dans la région sud-méditerranéenne et dans d’autres économies comparables. L’émigration et les fuites de capitaux qui ont caractérisé la région par le passé ont créé une ...

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL:
Download Restriction: no

Paper provided by OECD Publishing in its series OECD Development Centre Working Papers with number 128.

in new window

Date of creation: 01 Dec 1997
Handle: RePEc:oec:devaaa:128-en
Contact details of provider: Postal:
2 rue Andre Pascal, 75775 Paris Cedex 16

Phone: 33-(0)-1-45 24 82 00
Fax: 33-(0)-1-45 24 85 00
Web page:

More information through EDIRC

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:oec:devaaa:128-en. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()

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 references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.