International Journal of Research and Scientific Innovation (IJRSI)
Unpacking the FDI-Poverty-Environment Link : Insights from the MENA Region
Published November 26, 2025 • Vol. 12, Issue 10, pp. 4245–4253Open Access
DOI: 10.51244/IJRSI.2025.1210000366
Abstract
This paper aims to investigate the causal links that may exist between foreign direct investment, poverty and environmental quality and this study is particularly relevant for a set of countries in the MENA region. By performing an estimation for a simultaneous equation model using the the Three-Stage Least Squares (3SLS) technique for the period from 1996 to 2022, the results reveal a bidirectional causality between poverty and CO2 emissions. Notably, a unidirectional causal relationship emerges, with CO2 emissions influencing poverty without any feedback mechanism. However, no evidence of a significant relationship between FDI and poverty is found.
Keywords: Causality, Environmental quality, Foreign direct investment, MENA region, Poverty, Simultaneous equation model.
| Journal | International Journal of Research and Scientific Innovation (IJRSI) |
|---|---|
| ISSN | 2321-2705 |
| Volume / Issue | Volume 12, Issue 10 |
| Pages | 4245–4253 |
| Publication date | November 26, 2025 |
| DOI | 10.51244/IJRSI.2025.1210000366 |
| Publisher | RSIS International |
| License | Open Access |
How to cite this article
Ben Yedder Nadia (2025). Unpacking the FDI-Poverty-Environment Link : Insights from the MENA Region. International Journal of Research and Scientific Innovation (IJRSI), 12(10), 4245-4253. https://doi.org/10.51244/IJRSI.2025.1210000366
BibTeX
@article{Ben2025,
title = {Unpacking the FDI-Poverty-Environment Link : Insights from the MENA Region},
author = {Ben Yedder Nadia},
journal = {International Journal of Research and Scientific Innovation (IJRSI)},
volume = {12},
number = {10},
pages = {4245--4253},
year = {2025},
doi = {10.51244/IJRSI.2025.1210000366},
publisher = {RSIS International}
}