Moroccan Foreign direct investment and Human development in ECOWAS countries: an econometric modeling using dynamic panel cointegration panel approach.

Abstract

This work establishes an empirical relationship between Moroccan foreign direct investment (FDI) and the social and human development (HDI) of ECOWAS member countries in the context of the bivariate cointegration approach with dynamic panel data and Causality at meaning of Granger over the period 2002-2015. The result supports evidence of panel cointegration between FDI and HDI. As a result, we have found that FDI has a positive impact on social and human development in the long term. The results also support evidence of long-term causality ranging from HDI to FDI and from FDI to HDI in the short and long term. Our empirical results support the idea that South-South cooperation benefits both parties in the framework of Co-development