The composition of FDI in the Mena Region and other countries : econometric investigation and implications for Mena countries

الملخص EN

We investigate the determinants of the distribution of FDI across greenfield investment and mergers and acquisitions in a sample containing up to 91 developed and developing countries over 1987-2005.

The share of M&As is found to increase with market capitalization and better civil rights.

Openness to trade reduces the share of M&As in favor of greenfield investment.

We compare the composition of FDI flows to MENA countries to the predictions of the estimated model.

We observe a great heterogeneity among those countries.