THE IMPACT OF FOREIGN DIRECT INVESTMENT ON THE GROSS DOMESTIC PRODUCT IN EGYPT DURING THE PERIOD 2012-2021

The research aims to study the impact of foreign direct investment on the gross domestic product in Egypt during the period from 2012-2021 by collecting data on foreign direct investment and GDP from the reports of official sources in Egypt for economic data, the Central Bank of Egypt, and the Ministry of Planning and Economic Development, where The research relied on both the descriptive approach and the standard method in data analysis. The results showed the following:
The independent variable, foreign direct investment, is significant, and therefore the hypothesis on which this research was based was accepted. The morale of foreign direct investment is due to the development of foreign investment during the current period in Egypt, and the state’s encouragement to invest, which led to the strong contribution of foreign direct investment in industrialization, and the morale of foreign direct investment may also be attributed to the transparency and accuracy of data.
Main recommendations:
- The necessity of establishing a law for foreign direct investment in Egypt that is comprehensive in all matters relating to foreign direct investment, so that the foreign investor is sufficiently knowledgeable, which helps him to make a decision.
- Encouraging foreign direct investment in sectors that have a high export capacity, such as the manufacturing sector.
- Intensive focus on infrastructure development and the development of mega projects that bring fame to Egypt, which contributes to increasing the attraction of foreign direct investment.