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During much of the past two decades, transnational corporations (TNC) in extractive industries have attracted limited attention in analyses and in policy debates on issues relating to development. To some extent, this reflected the declining importance of those industries in the world economy and their shrinking share in global FDI, as well as the increasing emphasis placed on industrialization as a key aspect of the development process. However, the recent and significant revival of commodity prices has led to renewed interest in the exploitation of natural resources and in energy security. Following an extended period of low levels of international investment in extractive industries, significant changes are sweeping the landscape of FDI and TNC activity in these industries. It is therefore an opportune time to take a fresh look at this area, its implications for host-country development, and related policy challenges. Part Two of WIR07 is devoted to this topic.

Related Subject(s): International Trade and Finance
Sustainable Development Goals:
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