The Fallout from the Financial Crisis (4): Implications for FDI to Developing Countries
Foreign direct investment (FDI) has been one of the principal beneficiaries of the liberalisation of capital flows over recent decades, and now constitutes the major form of capital inflow for many developing countries, including low-income ones like Chad, Mauritania, Sudan and Zambia. But while there are reasons to celebrate this success, the current financial turmoil does not bode well for the sustainability these flows in 2009.
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