Impact of Information and Communication Technology (ICT) on Foreign Direct Investment (FDI) in the OIC countries

Abstract

The main purpose of this article is to examine the effect of Information Communication Technology (ICT), market size and trade openness on Foreign Direct Investment (FDI) for the panel of 21 countries of the Organization of Islamic Cooperation (OIC), over the period 1998-2021, using the panel Vector Error Correction Models (panel VECM). overall, we find a strong evidence supporting the view that ICT, market size and trade openness effects FDI in OIC members countries in the long-term. however, in the short-term ICT, market size and trade openness haven’t a significant effect on FDI inflows.