The Role of E-Government in Promoting Foreign Direct Investment Inflows

Author/Editor:

Ali J Al-Sadiq

Publication Date:

January 15, 2021

Electronic Access:

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Disclaimer: IMF Working Papers describe research in progress by the author(s) and are published to elicit comments and to encourage debate. The views expressed in IMF Working Papers are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.

Summary:

The outbreak of the COVID-19 pandemic has helped accelerate the digitization of public services. The lockdown initiated by most governments to curb the spread of the coronavirus forced most public agencies to switch to online platforms to continue providing information and services to the public. It is widely recognized that information diffusion and communication technology play a large role in improving the quality of public services in terms of time, cost, and interface with the public, business, and other agencies. Potentially, e-government could enhance a country’s locational advantages and attract more Foreign Direct Investment (FDI) inflows. This hypothesis is tested empirically using an unbalanced panel data analysis for 178 host countries over the period 2003-2018. The results suggest that e-government stimulates the inflow of FDI.

Series:

Working Paper No. 2021/008

Frequency:

regular

English

Publication Date:

January 15, 2021

ISBN/ISSN:

9781513566795/1018-5941

Stock No:

WPIEA2021008

Format:

Paper

Pages:

20

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