IDEAS home Printed from
   My bibliography  Save this paper

OECD's FDI Regulatory Restrictiveness Index: Revision and Extension to more Economies


  • Takeshi Koyama


  • Stephen S. Golub



This paper provides a revised measure of regulatory restrictions on inward foreign direct investment (FDI) for OECD countries and extends the approach to 13 non-member countries. The methodology is largely similar to that adopted in the previous version of the OECD indicator and covers three broad categories of restrictions: limitations on foreign ownership, screening or notification procedures, and management and operational restrictions. The FDI restrictiveness indicator captures statutory deviations from "national treatment", i.e. discrimination against foreign investment. When combined with other factors having an influence on foreign investment decisions, it has proven to be a good predictor of countries' inward FDI performance. L'indice OCDE des restrictions réglementaires sur les investissements en provenance de : Révisions et extension à plus de pays. Ce document présente une mesure révisée des restrictions réglementaires envers les influx des investissements directs étrangers (IDE) pour les pays de l'OCDE et étend la mesure à 13 pays non-membres. L'approche est dans son ensemble similaire à celle adoptée lors de la version antérieure de l'indicateur de l'OCDE, et couvre essentiellement trois catégories de restrictions: les limites sur la part de firmes domestiques pouvant être détenues par le capital étranger, les procédures d'examen sélectif et de notification, et les restrictions concernant la gestion et les opérations des entreprises. L'indicateur de restrictions réglementaires mesure les déviations par rapport au "traitement national" c'est-à-dire les discriminations à l'encontre des investissements étrangers. Combiné à d'autres facteurs ayant une influence sur les décisions d'investissement à l'étranger, cet indicateur contribue à expliquer la performance des pays en matière d'influx des IDE.

Suggested Citation

  • Takeshi Koyama & Stephen S. Golub, 2006. "OECD's FDI Regulatory Restrictiveness Index: Revision and Extension to more Economies," OECD Working Papers on International Investment 2006/4, OECD Publishing.
  • Handle: RePEc:oec:dafaaa:2006/4-en

    Download full text from publisher

    File URL:
    Download Restriction: no


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Karabay, Bilgehan, 2010. "Foreign direct investment and host country policies: A rationale for using ownership restrictions," Journal of Development Economics, Elsevier, vol. 93(2), pages 218-225, November.
    2. World Bank, "undated". "World Bank East Asia and Pacific Economic Update, April 2014 : Preserving Stability and Promoting Growth," World Bank Other Operational Studies 18378, The World Bank.
    3. Clifton, Judith & Díaz-Fuentes, Daniel, 2010. "The European Union, southern multinationals and the question of the 'strategic industries'," MPRA Paper 33040, University Library of Munich, Germany.
    4. A. E. Safarian, 2015. "Simplifying the Rule Book: a Proposal to Reform and Clarify Canada’s Policy on Inward Foreign Direct Investment," C.D. Howe Institute Commentary, C.D. Howe Institute, issue 425, May.
    5. Sebastian Barnes & Romain Bouis & Philippe Briard & Sean Dougherty & Mehmet Eris, 2013. "The GDP Impact of Reform: A Simple Simulation Framework," OECD Economics Department Working Papers 834, OECD Publishing.
    6. Fiori, Giuseppe & Nicoletti, Giuseppe & Scarpetta, Stefano & Schiantarelli, Fabio, 2007. "Employment Outcomes and the Interaction Between Product and Labor Market Deregulation: Are They Substitutes or Complements?," IZA Discussion Papers 2770, Institute for the Study of Labor (IZA).
    7. Degryse, Hans & Havrylchyk, Olena & Jurzyk, Emilia & Kozak, Sylwester, 2012. "Foreign bank entry, credit allocation and lending rates in emerging markets: Empirical evidence from Poland," Journal of Banking & Finance, Elsevier, vol. 36(11), pages 2949-2959.
    8. Przemyslaw Kowalski, 2008. "China and India - A Tale of Two Trade Integration Approaches," Trade Working Papers 22170, East Asian Bureau of Economic Research.
    9. Pelkmans, Jacques & Lejour, Arjan & Schrefler, Lorna & Mustilli, Federica & Timini, Jacopo, 2014. "The Impact of TTIP: The underlying economic model and comparisons," CEPS Papers 9710, Centre for European Policy Studies.
    10. Bilgehan Karabay & Gernot Pulverer & Ewa Weinmüller, 2009. "Foreign Ownership Restrictions: A Numerical Approach," Computational Economics, Springer;Society for Computational Economics, vol. 33(4), pages 361-388, May.
    11. Clifton, Judith & Díaz-Fuentes, Daniel, 2010. "Is the European Union ready for foreign direct investment from emerging markets?," MPRA Paper 33036, University Library of Munich, Germany.
    12. Paul Boothe & Richard Roy, 2008. "Business Sector Productivity in Canada: What Do We Know?," International Productivity Monitor, Centre for the Study of Living Standards, vol. 16, pages 3-13, Spring.

    More about this item


    contrôle étranger; FDI restrictions; foreign direct investment; foreign ownership; investissement direct étranger; restrictions sur l'IDE;

    JEL classification:

    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business

    NEP fields

    This paper has been announced in the following NEP Reports:


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:oec:dafaaa:2006/4-en. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.