Management Trends Towards Sustainable Environment: Nexus between CO2 Emissions, Natural Resource Depletion and Foreign Direct Investment

Authors

  • Wedyan Y. Bayahya Faculty of Business Studies, Arab Open University, Riyadh, Saudi Arabia; & College of Business, Effat University Saudi Arabia
  • Farrukh Nawaz Kayani Faculty of Business Studies, Arab Open University, Riyadh, Saudi Arabia
  • Fozi Ali Belhaj Faculty of Business Studies, Arab Open University, Riyadh, Saudi Arabia
  • Areej Y. Bayahya Department of Software Engineering, College of Engineering, University of Business and Technology, Saudi Arabia

DOI:

https://doi.org/10.32479/ijeep.18546

Keywords:

Environmental Sustainability, Foreign Direct Investment, CO2 Emissions and Natural Resource Depletion

Abstract

Nowadays, environmental sustainability has become a major concern for the policymakers and researchers, therefore, this study investigated the effects of environmental sustainability factors which are CO2 emissions and Natural Resource Depletion on inward Foreign Direct Investment in Asian economies. The study used data Spanning from 1997 to 2022, and employed the panel data analysis, leveraging econometric models to capture both the short-run and the long-run impacts upon inward FDI. The findings revealed that CO2 emissions have significant negative impact upon FDI in the long run. In addition, it emphasized the importance of environmental concerns in investor decision-making. In contrast, Natural Resource Depletion showed a significant positive impact, highlighting the attraction of resource-dependent industries despite sustainability concerns. The study highlighted the necessity of sustainable policies to strike a balance between economic growth with environmental preservation, offering valuable insights for future research and policymakers.

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Published

2025-02-25

How to Cite

Bayahya, W. Y., Kayani, F. N., Belhaj, F. A., & Bayahya, A. Y. (2025). Management Trends Towards Sustainable Environment: Nexus between CO2 Emissions, Natural Resource Depletion and Foreign Direct Investment. International Journal of Energy Economics and Policy, 15(2), 576–582. https://doi.org/10.32479/ijeep.18546

Issue

Vol. 15 No. 2 (2025)

Section

Articles

License

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