International Journal of Humanities and Social Science

ISSN 2220-8488 (Print), 2221-0989 (Online) 10.30845/ijhss

The Effect of Corporate Governance on Foreign Direct Investment in Jordanian Commercial Banks Listed at Amman Stock Exchange
Dr. Mohammad Al-Dwiry, Dr. Waseem Al- Haddad, Dr. Zyad Marashdeh

Abstract
This study aimed to provide evidence of whether or not the corporate governance & foreign direct investment indicators of the Jordanian commercial banks listed at Amman Stock Exchange (ASE) are affected by variables that were proposed and to provide the important indicators of the relationship of corporate governance that can be used by the Jordanian commercial banks to attract the foreign direct investment. The study population consists of 13 Jordanian commercial banks governance of the Jordanian banks listed at Amman Stock Exchange (ASE). The study founds that there is a direct positive relationship between profitability -measured either by Earnings per share (EPS) and Return on assets (ROA) - and corporate governance. In contrast, a negative direct relationship between each of liquidity, return on equity (ROE), and the size of the company with corporate governance, finally the study found a positive direct relationship between corporate governance and foreign direct investment.

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