The Impact of Foreign Indirect Investment on Financial Sustainability: Empirical Study in Sample of Iraqi Banks

Abstract

The purpose of the study is to find out the extent of the role of foreign indirect investment in achieving financial sustainability in banks and financial institutions.to achieve this, the "Trade Bank of Iraq" was chosen as a sample for the study. The data were collected from annual financial reports for a period of time (from q1 2018 to q4 2020) and the analytical approach was adopted. The results indicate that there is a statistically significant impact of the volume of indirect foreign investment that is represented by the volume of trading and the movement of shares on the indicators of financial sustainability of the study sample bank. In light of this, the study recommended the necessity of attracting foreign direct investment by developing dealing mechanisms and granting the necessary facilities to attract foreign investors.