Having friendly policies alone doesn't cut it when it comes to luring investor and huge companies that would make your economy and finance boom, I believe there are many other factors like the country security and other factors that influence investors to make investment and build companies and businesses that would benefit both parties but to a very large scale I believe the policies the country is having is what either draws or chase them in respect of tax payment and other revenue development.
to be fair this is just one part of developing the economy
if the country is trying to attract foreign investors maybe they should start locally first and offer their citizens lots of benefits and friendly policies when it comes to businesses the thing in my country is that it is so difficult to set up a business and run it due to many requirements and tedious processes the worst part is the process is only easy for those with money
As long as you have a sort of stable economy, and proper laws, and no threat, then you are going to be fine with foreign investment. What foreign investment cares is the volatility, so if they invest and laws change which makes them lose money, that is not good for them, so they check your history and if the laws haven't changed in a while, they think that's good.
Also they check if there are any threats, like if any war or civil war could start, which isn't the case for many nations, while we talk as if third world war is starting, we have just four nations involved in big wars, Ukraine, Russia, Israel and Palestine, aside from that we already know the situation in most places, nobody is lining up to invest into south Sudan for example. So for example, if you want to invest in a company at London, you do not really care, because nothing is wrong there at the moment.