The UNCTAD has just launched the report, “Foreign Direct Investment in Least Developed Countries: Lessons Learned from the decade 2001-2010 and the Way Forward”.
The study notes that FDI in least developed countries (LDCs) has grown rapidly over the last decade, with their share of global foreign investment flows having effectively doubled. Sadly, however, most of that was dedicated to natural-resource extraction, with relatively few jobs created.
The report recommends the establishment of an “LDC infrastructure development fund” that would improve these countries’ abilities to attract investment by upgrading such factors as electricity supply, roads, railroads, and computer/Internet connections.
Another proposal is for the creation of an “aid-for-productive-capacities fund” that would support technical and vocational training, education, and entrepreneurship in LDCs.
The report features detailed FDI-related data on all 48 LDCs and contains annexes with informative aggregate data on FDI trends.
Access the report here.