DUBAI, 3th April, 2017 (WAM) -- The best method to achieve sustainable development through Foreign Direct Investment, FDI, was the crux of a report issued by the World Bank Group, WBG, to be discussed at the Annual Investment Meeting, which opened in Dubai on 2nd April and will wrap up proceedings tomorrow, 4th April 2017, at the World Trade Centre in Dubai.
The report underlined the paramount importance of FDI, stressing that the benefits of FDA go well beyond providing additional capital, and include potential productivity improvements, export upgrading, knowledge generation and wage increases. The report calls for building an investment climate conducive to increasing countries competitiveness for FDI, while bearing in mind that different types of FDI can generate different economic, social and other benefits over the short and long-terms. An investment policy formulation requires on the one hand, a framework sophisticated enough to differentiate between the various kinds of FDI and their potential challenges and benefits for development, and on the other be simple enough to enable governments to clearly start organising and prioritising the multiple and complex variables affecting the maximization of benefits of investment, according to the study. The report, citing WBG statistics, said the number of people in the world living on extreme poverty that is, on less than $1.25 per day-- has decreased dramatically in the past three decades. However, the gap between the richest and poorest countries in the world is increasing. WBG has observed, said the report, three key steps in a developed logical framework in the complex process of investment policy making, as follows:-To assist governments to "connect the dots" among the numerous variables at different levels affecting how developing countries insert themselves into theinternational economy;-Within that broad vision, to enable policy makers to design and set priorities for a domestic reform agenda;-To help translate the countrys investment vision and reform agenda intoimplementation of concrete actions. WAM / Hatem / MajokCopyright Emirates News Agency (WAM) 2017.
