The Legal Protection of Foreign Investments: An Analytical Study.

There is no doubt that the legal and regulatory frameworks are what organize the dealings with foreign direct investment and contribute to its stimulation. Therefore, the more they include a clear and integrated unified investment law with other related legislations, and provide sufficient guarantees against expropriation, ensure freedom of profit repatriation, capital entry and exit, exemption from specific legal provisions regarding procedural and regulatory contracts, along with additional administrative facilitations, commercial and profit incentives, and granting invested joint-stock companies the option to choose their employees without restrictions, as well as providing sufficient and clear guarantees for investment dispute resolution mechanisms, and the right to own the lands and properties necessary to conduct the activity, the more this attracts foreign direct investment. In this regard, it is important to highlight the significance of having an independent, fair, and efficient judicial system, as well as a strong authority capable of implementing its rulings and decisions with determination and speed. This creates a positive and attractive impression for foreign investors that the host countries are capable of taking legal actions and enforcing their legislation decisively and powerfully, which instills a sense of reassurance and confidence in their investments. Hence, these factors are attractive for investment and influential in the investment climate of the host countries.