Foreign Private Capital
Development Finance International has been working for ten years with more than 30 countries in Latin America and Africa, most recently through the Foreign Private Capital Capacity Building Programme (FPC CBP), to develop their own capacity to monitor, analyse and develop policy relating to private capital flows (FDI, portfolio flows and debt) to and from their countries.
The following pages present the results of cross-country and individual country analysis resulting from this enhanced country capacity (and where relevant links to analysis by other institutions). They deal in turn with:
- trends in the different types of instruments, in their source countries and recipient sectors and regions, and their sustainability.
- the investment climate – ie what determines the initial investment decision, investment prospects, and economic, financial, political, infrastructure, health factors as well as the information sources which help investors decide
- the global financial crisis of 2008-09 and its impact on foreign capital
- corporate responsibility issues and the contribution investment makes to development.
A comprehensive overview of this analysis is now available on this website.
They also present the legal and institutional issues which need to be tackled in order to improve monitoring, analysis and policy design on foreign private capital, and the technical methods used by the FPC CBP to help countries improve their monitoring, analysis and policy, dealing in turn with monitoring codes, concepts and definitions, monitoring methods, questionnaires and software, analysis and policy. For more information on this support or to request assistance please contact Matthew Martin or Nils Bhinda at DFI.
Latest work DFI carried out in this area:
10 August 2011 - FDI to recover to pre-crisis levels in 2 years (UNCTAD)
The World Investment Report 2011 forecasts FDI flows to recover to pre-crisis levels within two years. The challenge is to make this impact on efforts to achieve the MDGs. In 2010 developing economies absorbed almost half of global FDI inflows, and generated record FDI outflows (much of them South-South). TNCs are engaging with developing and transition economies via a broadening array of production and investment models. DFI contributed to the production of this report.
March - April 2011 - DFI Secondment to UNCTAD (Geneva)
Following on from participation in the Expert Meetings in Q4 2010, DFI Programme Manager Nils Bhinda went on secondment to UNCTAD to work on FDI linkages to other financial flows. During this time he contributed towards related sections of the World Investment Report 2011, which has recently been published.
29 March 2011 - Togo Releases IP and FPC Survey Results
Togo's first survey of Foreign Private Capital flows and Investor Perceptions closed in November 2010. Achieving a response rate of 64.7%, the country is now releasing its national analytical report containing all the detailed findings generated by the survey, covering the methodological approach used, analysis of investment climate and of foreign assets and liabilities, and policy recommendations.
9 February 2011 - DFI Contributes to UNCTAD Expert Meetings
DFI participated in UNCTAD's Peer Review Meeting in Geneva on 1 February, to discuss sections of the World Investment Report 2011. It also presented synthesis findings at UNCTAD's Multi-Year Expert Meeting on Investment for Development during 2-4 February. The meeting was well attended by international experts, and a number of countries from the SSA and LAC regions. Discussions focussed on the nexus between public and private, domestic and foreign investment, looking at different types of capital flows, and the role of public investment in boosting growth, private investment, and industrial policy.
