FDI

A lot of FDI profesionnal underline this fact over and over again: to attract FDI to your region, you’ll have to deliver information. And very well qualified information, and easily accessible. This is true for all economies, even the less developed. Research published with an article published in the Journal of African Business last year confirms this. Below you can read the abstract and you’ll find the weblink.

« Sub-Saharan Africa’s (SSA) foreign direct investment (FDI) share has persistently averaged 1% of global flows. The location decision and perceptions of investors are therefore instructive for policy making. This article factor analyses a survey of perceptions, operations, and motivations of 758 foreign investors in 10 SSA countries. Wefind that the provision of transaction cost-reducing information on industries and markets and utility services to investors before and after a firm’s FDI decision are significant factors. FDI location decision in SSA is influenced strongly by political economy considerations. Labor and production input variables are not influential. »

source: http://cat.inist.fr/?aModele=afficheN&cpsidt=22085260