This paper compares the political economy of foreign direct investment (FDI) in relation to economic development strategies and legal framework for foreign firms in Egypt and Turkey. The paper briefly examines the FDI performances of these countries starting from the end of the nineteenth century to the first decades of the twenty first century. In addition, in this paper, the legal framework for FDI is analyzed. Finally the paper put emphasis on the similarities between the FDI performances and the obstacles that foreign investors face in these countries.
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