Abstract
Foreign investment is of great importance in advancing economic development in any country, as it is considered one of the basic economic activities for achieving economic growth, as it plays a role in the process of bridging the emerging financing gap between domestic savings and the necessary investment needs. The economies of the world in general and the Iraqi economy in particular and the advancement of economic sectors dependent mainly on one resource and neglecting the rest of the sectors, by providing a suitable environment to attract foreign investments, and the research problem comes that Iraq's investment environment suffers from instability as an environment that repels foreign investments. The research indicated that The methodology is: the ineffectiveness of foreign investment in Iraq and the low ability of those investments to raise the level of economic sectors and reduce the effects of inflation, the employment of manpower, and the introduction of modern technologies. The Iraqi inflation rate for the period (2004-2021) by adopting the case study method, which is the ideal method in the to study this type of investment. The research concluded that foreign investment is of great importance in advancing the development wheel in any country, as it is considered one of the basic economic activities in achieving economic growth, and plays a role in bridging the financing gap arising from the domestic savings house and the necessary investment needs. The research recommended the need to work on optimal utilization of foreign investments by drawing future plans in order to advance the reality of the activities of the economic sectors and achieve economic growth.