INVESTISSEMENT DIRECT ETRANGER EN ALGERIE ATTRACTIVITE ET OPPORTUNITES

To improving it's foreign direct investment climate, Algerian government adopted a structural reforms that made the restoration of macroeconomic stability and liberalization of the economy possible. This present study allows us to identify the major challenges of foreign capital flows, present the benefits of this source (FDI) on host economies. The results of the Granger causality tests have shown that economic openness and the exchange rate have a significant effect on the flows of foreign direct investment during the period 1980-2011.