Foreign direct investment for Arab region expected to fall;

[Stillw8n]

Foreign direct investment for Arab region expected to fall; Iraq projected to double
October 10th, 2011
Decrease the flow of investments in Arab countries and rising in Iraq

A report published by Arab financial windstorm that the flow of foreign direct investments to the Arab states will fall by 17% this year and will decline more sharply in the countries of “Arab spring”.

The report confirmed the Arab Association for Investment and Export Credit, based in Kuwait that foreign direct investment in 21 Arab countries will fall to 55.1 billion dollars in 2011 from 66.2 billion dollars in 2010.

It is expected to see Egypt, which has seen a protest movement overthrew President Hosni Mubarak, a sharp decline in the rate of investment of up to 92%, as it is expected to be foreign investment in this country up to half a billion dollars in 2011 compared to 6.4 billion dollars in 2010 .


Ended and Egypt, the largest Arab country, the first half of the year with a negative outcome in this regard as the loss amounted to $ 65 million with the extra money over inward investment.

It is expected to decrease foreign investment in Syria from $ 1.4 billion in 2010 to half a billion dollars in 2011, a drop of 65%.

It is expected that a decline of 36% in Bahrain and 21% in Tunisia, a country that set off the spark “Arab spring” the end of 2010. However, the report predicted that recorded seven Arab countries covered by the rise in foreign investment, particularly Saudi Arabia, where these investments will rise to $ 29 billion, compared with 28.1 billion dollars in 2010.

The report predicted the doubling of foreign investment coming into Iraq to reach $ 3.5 billion this year.

The global financial crisis has affected negatively on foreign direct investment in Arab countries, and these investments declined from $ 95 billion in 2008 to 66.2 billion dollars in 2010.


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