The paper aims at testing the following hypothesis, there is a tow direction causal relationship between the foreign direct investment flows and the lax in the environmental protection obligations (expressed as a volume of carbon dioxide emissions resulting from industrial activity) in Egypt.By using the self-vector regression model and its associated co-integration test, Granger causality and the response functions of shocks. (Jha&Rabindran,2004) applied the abovementioned methodology to test several hypotheses such as, there is increasing in the foreign direct investment flows in pollution-intensive industries compared to the least pollution industries in India and the results asserts that increase in the foreign direct investment flows in pollution-intensive industries special air pollution intensity.