The Role of Blue Economy in Attracting Foreign Direct Investment and Enhancing Gulf Cooperation Council Fiscal Balance

Objectives This study examines the role of selected blue economy logistics indicators in attracting foreign direct investment (FDI) and enhancing fiscal balance in Gulf Cooperation Council (GCC) countries. Because consistent sector-level FDI data are unavailable, maritime trade and container port throughput are used as measurable proxies for the maritime-logistics component of the blue economy. Material and Methods A quantitative panel econometric design was applied to GCC country data for 2012-2022, using UNCTADstat and IMF World Economic Outlook data. The analysis employed panel unit root tests, a complementary Fisher-type ADF test, Pedroni residual cointegration testing, autoregressive distributed lag (ARDL) modelling, vector autoregression (VAR), and impulse response functions (IRFs). FDI was entered in the estimated models as inverse-hyperbolic-sine-transformed LFDI. Results Container port throughput is positively associated with FDI in the long run, and maritime trade is positively associated with fiscal balance in the long run. Conclusion The findings support the role of maritime logistics capacity and port efficiency in strengthening investment attractiveness and fiscal resilience in GCC economies.