Determinanants of FDI in Marocco. A regional perspective.

This article affords a radical and comparative analysis of FDI, or foreign direct investments, which might be made via corporations that need to expand into international markets. Foreign Direct Investment is crucial to the development of both emerging and developed nations, as they hold the potential for mutual advantages, altering not just their economies but also exerting a considerable influence on social dynamics. The studies starts by analyzing fundamental FDI concepts, explaining what makes them important, and assessing the literature that has already been written about them. After that, an in depth analysis of Morocco is performed, exploring its specific capabilities, historical richness, political structure, and economics, all of which make contributions to the formation of its socioeconomic panorama. Finally, in the research phase of this study, the focus shifts to analyzing the factors that impact the allocation of foreign direct investment among the different states in North African countries, namely Algeria, Egypt, Libya, Morocco, and Tunisia. This study looks at those variables as a way to understand why foreign businesses choose certain areas for their direct investments. To achieve this goal, an extensive analysis of economic theories pertaining to foreign direct investment as well as empirical research on the variables influencing FDI placement decisions have been carried out. In order to assess how important local elements are in in enticing foreign capital, a discrete choice Conditional Logit model is applied to a dataset of greenfield investments in north African states from 2003 to 2019. Ultimately, conclusive insights will be drawn based on the findings yielded by the conducted study.