Instability of national legislation is one of the reasons for the alienation of foreign investment
Doctor Noureddine HAIRECH
Law Department - Faculty of Law and political Science - university of Mascara
Abstract
Investment is currently one of the most important mechanisms for economic development in various countries, whether developed or developing, but it is more important for developing countries in particular and is no longer able to provide them alone. In order to become a pre-investment destination, any country must guarantee a range of investment requirements and provide a set of conditions. To achieve a set of incentives and concessions that investors are looking for, but in my view all this is too important for countries wishing to attract investment to enjoy some political and legislative stability. This makes investors feel assured that political officials are not changed frequently and that legislation is changed every time, threatening their interests in those countries, because according to economists, the money is directed For investment and use in the world of economy and trade, it is called "cowardly money", and therefore it is afraid of political and legislative instability in the countries that want to enter their market, which is what most Arab countries suffer in their east and west. This prevented it from occupying it and its economic alliance, and even more it did not direct its investments to each other, and directed it to the more stable countries, which resulted in its economic and political weakness, and missed great opportunities to become one of the most powerful economic blocs and alliances in the world. Because the world is now heading for more economic blocs to control major investments and thus control its new markets. The following questions are asked, and what is the danger of instability in the national legislation on foreign investment? Why do foreign investors not want to invest in countries with legislative and political instability? .
Keywords
Investment, foreign, instability, legislation, reasons
