Policy Options for Promoting Foreign Direct Investment in the Least Developed Countries
Transnational Corporations Review, Volume 7, Number 3, September 2015
32 Pages Posted: 28 Dec 2017
Date Written: 2015
Foreign direct investment (FDI) plays an important role in the world economy and has the potential to contribute toward accelerating the process of economic growth and sustainable development in the least developed countries (LDCs). This article provides a brief overview of recent trends and patterns in FDI flows to the LDCs, and then takes stock of the policies, programs and measures pursued by host and home countries and by international organizations to stimulate FDI flows to LDCs and increase the benefits for these countries. It then lays out a number of policy proposals on how flows to LDCs, and the benefits associated with them, can be enhanced. Finally, it outlines some options for international action to strengthen such efforts - proposals and options that are also relevant to other developing countries.
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