Investment in Tourist Places

Ahmed Majed Badeiwi Hamza

Prof. Dr. Abd Ali Kazim Al-Fatlawi

First requirement / Investment Conceptual framework:

The concept of investment:

Although investment was not known in its current form, especially at the international level, which has increased its global importance sharply in our time in light of the global economic openness and due to the tremendous development in the forms and types of investment and the increase in its global flows, interest in investment has increased and thus its concepts have multiplied and diversified according to the angle from which it was viewed.

Investment in language:

Derived from the word invest, it means to develop, i.e. increase, or growth is often in money, whether in its monetary, financial, commercial or any other form, whether in the form of real estate or movables. It is said that he invested money and its fruits, with emphasis on the letter m, meaning he used it in production. (http://www.qaradaghi.com/)

Investment in terminology:

We find that there are several definitions provided by economists and thinkers, and even the multiplicity of definitions explaining the concept of investment, they share many characteristics and manifestations that indicate the concept of investment, so we can summarize them as follows:

Investment is based on sacrificing the satisfaction of desire and consumption of the present in the hope of obtaining the satisfaction of his desire in the future (Matar, 1999: 17)
It is the abandonment of the use of current funds for a specific period of time in order to obtain more cash flows in the future that serve as compensation for the lost opportunity of the invested funds as well as compensation for the expected decline in the purchasing power of the invested funds due to inflation and obtaining a reasonable return in exchange for bearing the risk. (Al-Tailwani, 2011: 40)
Investment is the employment of money with the aim of achieving a return, income, profit, or money in general. Investment may be in a material, tangible, or non-material form. (Jardan, 1997: 98)
Investment is the employment of available funds in acquiring and forming assets with the intention of exploiting them to achieve the investor’s purposes

(Al-Hadary, 2000: 20).

It is also known as the flow of capital directed to changing the existing inventory, which represents one of the basic factors of the production function in addition to the labor factor. (FRANC and RICHARD, 1995: 21)
Investment is the abandonment of funds owned by an individual at a certain moment and for a certain period of time that may be long or short and linking it to one or more assets that he keeps for that period of time with the aim of obtaining future financial flows that compensate him for:
The current value of those funds that he gave up in order to obtain that asset.
The expected decrease in the purchasing power of those funds due to inflation.
Risks arising from the possibility that the desired financial flows will not occur as expected.

(Ramadan, 1997: 13)

As defined in Algerian law as follows

– Acquisition of assets falling within the framework of creating new activities or expanding production capacities or rehabilitation or restructuring.

– Contribution to the capital of an institution in the form of cash or in-kind contributions.

– Resumption of activities within the framework of partial or total privacy. (Order No. 01-03, 2001)