The Impact of Changes in Macroeconomic Performance on Foreign Direct Investment Flows in Algeria during the Period (1994-2019)

Abstract

 This research aims to study the impact of the macroeconomic performance in Algeria on foreign direct investment flows, through the performance of some economic indicators, which are inflation, unemployment, the balance of payments, as well as the exchange rate , and GDP and their impact on foreign direct investment. The study concluded that the increase in the unemployment rate is inversely related to the inflows of foreign direct investment, as for the relationship of the latter with the balance of the trade balance, it is positive, that is, the higher the balance of the trade balance, the higher the flow of foreign direct investment with it. As for inflation, GDP and the exchange rate, it had a very weak impact on foreign direct investment.