The role of indirect foreign investment in revitalization emerging stock markets : study of Egyptian market 2004 to 2017

Abstract EN

As a result of the efforts of developing countries to develop their economy and the lack of local sources of funding to support their development projects, the search for alternative external sources to improve the levels of development has started.

which contributes with several forms, including external loans, but due to the danger of relying on this type in financing economic development, the focus has shifted towards the use of foreign investment, both direct and indirect to increasing the productive capacities of the local economy.

Given the wide scope of foreign investment and its relationship with the local securities markets, it’s important to recognize the role of foreign investment in the Egyptian securities market as an example of emerging markets.

The study shows us that the foreign portfolio investment is one of the best finance resources for companies seek to start a new project or expending their existing projects especially for emerging markets and has a positive impact on global economy.