I. IntroductionThe impact of geopolitical risk (GPR) now drives key decisions in global financial markets and shapes patterns of foreign direct investment (FDI) (Bussy & Zheng, 2023).Due to our interconnected global economy, geopolitical tensions now play a bigger role in investment decisions.This research examines the relationship between geopolitical risk and FDI transactions by analyzing flows from G20 countries from 2002 to 2022.The focus on G20 countries is motivated by their collective representation of over 80% of global GDP, making them a meaningful group for studying major economies with diverse development levels, institutional frameworks,