Measurement & Analysis The Impact of Foreign Direct Investment on Growth Domestic Product in Iraq for the Period (2005-2015)


The study dealt with the importance of the subject foreign direct investment to see the measurement and analysis Its impact on economic growth in Iraq when coupled with advanced technology high technical and managerial potential, And to identify the main obstacles that limit its flow.The study shows a problem that Iraq had enacted many laws and legislation, benefits and guarantees that were not able to attract a few of these investments because of insufficient investment climate, which led to weak foreign direct investment flow and thus reducing the impact on economic growth in Iraq, Here: the study included many important questions, Of them: What are the main obstacles to investment in Iraq? and its effect on gross domestic productThe study aims to demonstrate the importance and development of foreign direct investment in Iraq, and study the measurement and analysis of its impact on economic growth in Iraq for the date (from 2005 to 2015), To determine the extent to stand on the investment climate for such investments appropriate. The study reached the following hypotheses: there is a statistically significant relationship between foreign direct investment economic growth in Iraq during the period of study to prove this, data were collected from the competent authorities And analyzed using descriptive analytical approach and quantitative analytical method To reach the objectives of the study and verification of its hypotheses. The study has reached from the analytical side to the lack of appropriate investment climate in Iraq provide due to lack of political and security stability and the spread of financial and administrative corruption and the deterioration of infrastructure, Iraq also came at the bottom of the list ranked (161) of the global rating index, In the second place after Syria least among the ten countries in the peaceful and stable world for the year 2015, Thus weakening its contribution to gross domestic product (economic growth) in Iraq. In the field of standard analysis, the partial elasticity of the gross domestic product of foreign investment in a linear regression model (0.195) means that the increase of foreign direct investment by 1% will lead to increasing foreign direct investment by (0.195%). The study recommended trying hard to overcome these determinants to attract more investment to increase gross domestic product and it is one of the most important economic indicators which reflect economic activity in the country.