Active policies for attracting foreign direct investment: International experiences and the situation in Latin America and the Caribbean

Transnational corporations (TNCs) are constantly seeking out and assessing possible new geographical locations for their investments, while countries compete globally to attract such investments and harness the benefits they provide. Beyond the theoretical, and, in some cases, ideological, considerations that may be brought to bear, governments face two fundamental policy options in their pursuit of foreign investment. The first is to do nothing, that is, to adopt a passive stance in terms of attracting investment; the second is to intervene actively to obtain the maximum benefit from the investment process.

Sustainable Development Goals:

Decent Work and Economic Growth