Given its fragile balance of payments position and urgent need to boost industrial production, Pakistan needs to significantly increase its mobilization of foreign resources. However, long-term official assistance will become increasingly scarce, while promoting large portfolio investments is not a proper market policy option due to Pakistan's underdevloped and narrow capital market. Significant increases in commercial borrowings are also not desirable. It is therefore crucial to accord high priority to foreign direct investment (FDI).
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Paper provided by Asian Development Bank in its series Papers with number
66.
Length: 44 pages Date of creation: 1999 Date of revision: Handle: RePEc:fth:asdbed:66
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Find related papers by JEL classification: F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements F20 - International Economics - - International Factor Movements and International Business - - - General O53 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East