Measuring the effect of foreign exchange reserves on foreign direct investment in Algeria during the period 1990-2020 using the ARDL model

BOURENANE, Bouzid and REZIG, Kamel and DJORFI, Zakaria (2022): Measuring the effect of foreign exchange reserves on foreign direct investment in Algeria during the period 1990-2020 using the ARDL model. Published in: International journal of economic performance , Vol. 05, No. 01 (4 June 2022): pp. 302-315.

Abstract

This paper aims to examine the impact of foreign exchange reserves on foreign direct investment in Algeria during the period 1990-2020 by applying the Auto-Regressive Distributed Lag model (ARDL). The model showed that the current variables are co-integrated. Also, the results indicate that foreign exchange reserves have a positive impact on foreign direct investment in the long term only, at a rate of 44%.

• Item Type: MPRA Paper
• Language: English
• Keywords: Foreign exchange reserves; foreign direct investment; ARDL model; Algeria
• Subjects: C - Mathematical and Quantitative Methods > C5 - Econometric Modeling > C51 - Model Construction and Estimation; F - International Economics > F2 - International Factor Movements and International Business > F21 - International Investment ; Long-Term Capital Movements; F - International Economics > F3 - International Finance > F31 - Foreign Exchange; O - Economic Development, Innovation, Technological Change, and Growth > O5 - Economywide Country Studies > O55 - Africa

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