2003
China Accelerates Privatization, Continuing Shift from Doctrine (November 12, 2003)
Foreign investors hail the Chinese government's decision to privatize the large enterprises that remain in public ownership. Critics fear that this new phase in China's transition to a market economy might start off a flood of mergers and acquisitions. Local governments might rush to sell off their assets before new regulation can prevent bribery and insider deals. (Washington Post)
India Removes Cap on FDI (October 15, 2003)
India introduces a new investment policy that facilitates foreign direct investment. Opponents worry that the government will not use the huge earnings from selling public sector equities for infrastructure development and social investment, but only to meet the country's budget deficit. (Asia Times)
America Puts Iraq Up for Sale (September 22, 2003)
The US-appointed Iraqi Governing Council announced that it would open all sectors, excluding oil, to foreign investment. The Independent reports that the decision shows "all the hallmarks of Washington's ascendant neoconservative lobby, complete with tax cuts and trade tariff rollbacks."
World Investment Report 2003 (September 4, 2003)
While governments have pushed for liberalization of foreign direct investment (FDI), and introduced a large number of international investment agreements, this UNCTAD report documents a downturn in FDI.
FDI Flows into Japan: Changing Trends and Patterns (August 27, 2003)
Japan, a traditional top global investor, experiences rising inflows of foreign direct investment. This IDEAs paper argues that this evolution reflects recent restructuring of the corporate sector, which allows cross-border mergers to penetrate the Japanese economy.
Multinationals Should Face the Same Rules No Matter Where They Set Up Shop (August 11, 2003)
Although many local and national laws exist to regulate multinational companies in poor countries, governments often do not enforce laws in fear of losing foreign investment. Therefore, international organizations and NGOs must designate and enforce stricter international standards for multinationals. (Guardian)
A Critical Analysis of the Proposed Investment Treaty in WTO (July 2003)
The former director of UNCTAD's Trade Program critiques the Multilateral Investment Agreement (MIA) and evaluates the drawbacks and benefits of foreign direct investment. The MIA will protect foreign investors and limit the ability of developing countries to manage FDI. (WTroubleO)
Globalization Fight Continues (July 22, 2003)
Citizen protest killed the OECD Multilateral Agreement on Investments in 1998, so now rich countries turn to the WTO to shape investment rules that they contend will spur the flow of global capital. But poor countries need basic public goods before enlarged private sector investment. (Toronto Star)
The Icy Ideological Grip (July 9, 2003)
South African president Thabo Mbeki calls on progressive politicians to challenge the notion that global development requires private capital investment. EU policies demonstrate that public investment can bring its poorer members into the market system rather than keep them in debt. (Guardian)
Real Story on Free Trade and Jobs (June 16, 2003)
Libertarian conservatives seem to imply, US workers and investors have prospered from liberalized trade, while minimizing benefits for foreign partners and workers. They assure skeptics that, even after NAFTA, US companies invest only two billion dollars per year in Mexican manufacturing capacity compared with two hundred billion per year domestically. (CATO)
Africa 'Best for Investment' (April 8, 2003)
A World Bank report shows that the rate of return on foreign direct investment in Sub-Saharan Africa was higher than any other region in the world in 2002. (BBC)
Dar Es Salaam Tells African Americans: Come and Retire Here (March 31, 2003)
Tanzania hopes to attract foreign investment from the African diaspora in the United States by promoting "Florida-style" retirement homes around Lake Victoria. The US-based organization Africa United Against AIDS Globally led a group of wealthy African Americans to East Africa to discuss this and other investment opportunities. (East African (Nairobi))
Don't Over Rely On FDI (March 31, 2003)
Foreign direct investment (FDI) can potentially help a country develop its economy, but FDI alone can't cure poverty. African countries need to approach FDI cautiously to maintain control over strategic sectors of the economy and prevent "race to the bottom" labor and environmental abuses. (Accra Mail)
Foreign Investment Regulation in Historical Perspective (March 2003)
Professor Ha-Joon Chang notes that today's richest countries never pursued policies to blindly attract foreign investment, which they now pressure poor countries to adopt under the proposed WTO Multilateral Investment Agreement. (Third World Network)
2002
Slow Growth Seen Hurting Poverty Fight (December 12, 2002)
The World Bank warns in its economic forecast for 2003 that a decline in foreign direct investment due to slow worldwide growth will hinder efforts to fight global poverty. Additionally, the Bank argues that a drawn out war in Iraq would exacerbate the situation even further, creating a potential world recession. (Boston Globe)
Southeast Asia Losing FDI Fight to China (November 12, 2002)
In the competition for foreign direct investment, Southeast Asian nations not only have to contend with developed economies but also with China, which has become a magnet for foreign investors. Southeast Asia must now compete for a very small share of the regional FDI pie. (Asia Times)
World Investment Report 2002
The United Nations Conference on Trade and Development's (UNCTAD) World Investment Report traces world foreign direct investment (FDI) flows and identifies potential for increased FDI. The report focuses on the increasing importance of transnational corporations for enhancing developing countries' export competitiveness. (UNCTAD)
Foreign Direct Investment: Who Gains? (April 2002)
The Overseas Development Institute analyses the effects of Foreign Direct Investment (FDI) on wages in developing countries. Higher wages paid by foreign firms tend to benefit skilled workers more than the less-skilled and thereby perpetuate wage inequality. (Overseas Development Institute)
Fallacies About the Theory of FDI (February 2002)
Foreign Direct Investment (FDI), which is commonly considered necessary for development, proves problematic under closer scrutiny. In reality, FDI mainly serves the interests of industrialized countries. (Third World Network)
Africa "Very Unlikely" to Meet UN Development Targets (February 27, 2002)
At a UN-sponsored conference in Ghana, World Bank delegates and local officials expressed concern about Africa's prospects. (Accra Mail)
2001
ODA Steady in 2000; Other Flows Decline (December 12, 2001)
The OECD presents the latest figures on Overseas Development Assistance (ODA) and other financial flows. Official funding for development was the lowest since 1990 but ODA flows in real terms changed little from 1999, down just 0.4%. (OECD)
From Poor to Rich: Capital Is Flowing in the Wrong Direction (December 12, 2001)
Developing countries maintain higher foreign exchange reserves due to volatility and a fall in private capital flows, restraining them from the stimulus that their economies need. Also, the rise in the dollar proportion of reserves increases countries' sensitivity to the dollar's value. (International Herald Tribune)
Germany and Others Canvass Investment and Aid for Africa (November 8, 2001)
FDI dominated many discussions at the recent International Business Forum on Investment, Environment, and Corporate Responsibility. While some participants called for more foreign investment in developing countries, particularly in Africa, others focused on how emerging private actors are changing the nature of development assistance. (This Day)
2000
FDI to Exceed 1 Trillion Dollars (October 3, 2000)
UNCTAD has released the 2000 World Investment Report, addressing Foreign Direct Investment flows, activities of Transnational Corporations and the rising number of Mergers & Acquisitions. (Inter Press Service)
MIGA: Annual Report Shows Rising Foreign Direct Investment (September 14, 2000)
The Multilateral Investment Guarantee Agency (MIGA), part of the World Bank group, published its annual report. It stated that it had significantly increased FDI flows into developing countries in the past year. (UN Wire)
Foreign Investment is Main Theme of ICC Regional Conferences (August 31, 2000)
The International Chamber of Commerce (ICC) wants to further Foreign Direct Investment in developing countries. To debate this issue, it is organizing three conferences in Latin America, South Asia and Africa.
"Africa Needs To Catapult Forward" - Annan (April 24, 2000)
In a recent message, Secretary General Kofi Annan stated that industrialization is the key to development in Africa, and that this could be achieved by a closer partnership among Africans and their international partners to increase foreign investment. (Ghanaian Chronicle)
1999
Globalization Fuels Rising Foreign Investment Flows (September 27, 1999)
UNCTAD has developed a new "transnationality" index designed to reflect the amount of foreign investment coupled with TNC activity, and the winner is....New Zealand. (UN Newservice)
Global Investment in Developed Countries at Record High, UN Says (September 20, 1999)
The article goes on to explain that this increase in global foreign direct investment occurred mostly between the EU, the US and Japan. (Associated Press/ Nando Media)
