Risque-Pays et Investissements Directs Etrangers au Benin
country risk, political risk, economic risk, financial risk, FDI, Benin
The purpose of this paper is to analyze the impact of country risk on the entry of foreign direct investment into Benin For this purpose at least one variable of each country risk component political risk economic risk and financial risk has been taken into account in the model From the Hendry-based Error Correction Model ECM over the period from 1980 to 2015 the results from the econometric estimation suggest that FDI inflow is positively explained by the rate of economic growth and the rate while foreign debt and corruption do not favor the growth of FDI in Benin For the country to become a pole of attractiveness of FDI it is imperative to clean up the institutional framework in the field of political right to undertake economic reforms and to work for a real financial independence to ensure its solvency and self-financing
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