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Divergent Asian Views on Foreign Direct Investment and Its Governance

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  • DOUGLAS H. BROOKS
  • HAL HILL

Abstract

This paper reviews recent trends and effects of FDI in developing Asia; domestic policy changes in six Asian host economies (People’s Republic of China, India, Republic of Korea, Malaysia, Thailand, and Viet Nam); and how these policies and experiences influence their attitudes toward managing FDI. Not surprisingly, these countries have differed in their approach to the formulation of international regulations governing FDI. To simplify, their negotiating positions have ranged from strongly in favor (Republic of Korea) to strongly opposed (India); from viewing it as a helpful spur to domestic liberalization (Thailand) to a constraint on development policy options (Malaysia); and from acceptance if implementation is gradual (People’s Republic of China) to concern over capability to address the difficulties and challenges of achieving compliance (Viet Nam).

Suggested Citation

  • Douglas H. Brooks & Hal Hill, 2004. "Divergent Asian Views on Foreign Direct Investment and Its Governance," Asian Development Review (ADR), World Scientific Publishing Co. Pte. Ltd., vol. 21(01), pages 1-36.
    • Handle: RePEc:wsi:adrxxx:v:21:y:2004:i:01:n:s0116110504000016
    DOI: 10.1142/S0116110504000016
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