) OIC( در كشورهاي عضو سازمان كنفرانس اسلامي )FDI( تخمين تابع عرضه سرمايه گذاري مستقيم خارجي

Estimating the Supply Function of the Foreign Direct Investment (FDI) Among the Member States of the Organization of the Islamic Countries (OIC)

Not far ago foreign investment were looked upon as a means of domination of the developing countries by the developed countries. Nowadays, though, there are few developing countries who do not have an extensive plan for attracting foreign direct investments (FDI). In fact in the aftermath of the negative perception of FDI, today most developing countries of the world welcom FDI with open arms. Along with worldwide increase in FDI both in developed and the developing countries in recent years and its significant role in the economies of these countries at the macro level, economists as a whole have shown greater interests in the economic ramifications of such investments. As a result there has been an influx of FDI related researches and studies in recent years expressing different economic point of views of this concept. In this article an attempt has been made to estimate the supply function of the foreign direct investment in 31 member states of the Organization of the Islamic Countries using panel data approach for the period 1995-2000. The results indicate that expanding the market size, implementing appropriate trade policies such as tariffs reductions, freedom of foreign trade, reducing economic instability through lowering the rate of inflation, cutting the budget deficit and also easing the governments foreign debts all have positive impacts in attracting FDI to Islamic Countries.