Studying of the Effects of Improving Doing Business on Inward Foreign Direct Investment (Case Study of Southwest Asia Countries)

In this article, the impact of improvement in business environment of a country on its Foreign Direct Investment (FDI) is assessed. Our statistical population includes twenty three of southwest Asia countries in the period 2008 to 2012. Considering the nature of data, panel data method is used for the data analysis. The results show that improving business environment could affect the more attraction of foreign direct investments, but its effect is insignificant in comparison to other parameters considered in the model. In addition, according to other results, in consonance with theoretical expectations, the Gross Domestic Production (GDP) parameter has a positive, and inflation and financial corruption have negative influences on FDI inflow.