This paper aims at analyzing the effects of corruption on investment and growth in 15 Middle
East and North African (MENA) countries during the period 1985-2013. We used the
International Country Risk Guide (ICRG) corruption index and we conducted a panel
cointegration analysis and Granger causality procedure to detect the dynamic relationships
between the variables. The main findings of this paper show that corruption is a serious hurdle
to economic growth in MENA countries since it affects investment activities and foreign
direct investment inflows. In this case, policymakers have to implement effective anticorruption
strategies to avoid the epidemic of corruption