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« Islamic Development Bank unveils success of initial Infrastructure Development Fund | Main | INDIA: UTI International to launch $300 m infrastructure fund » November 6, 2006How South Africa Challenges Our Thinking on FDI
Source: HBS Working Knowledge Author: Martha Lagace More than one decade after the fall of apartheid, and despite ambitious economic reforms by the ANC government, foreign direct investment flows into South Africa averaged around two-thirds less than investments in comparable emerging-market economies. Why? One reason that could be overlooked is the enduring strength of the corporate climate in South Africa, says Eric D. Werker, an assistant professor at Harvard Business School. Werker's case study, "Foreign Direct Investment and South Africa," to be published in December, shows that South Africa's experience may debunk standard views of how foreign direct investment works. "I think a glimpse into private sector flows has shown that our conventional wisdom might not always align with the reality on the ground," he says. Posted by pichu at November 6, 2006 5:34 PM |
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