- February 2, 2007
Trade and foreign direct investment can both transform economic structures and relationships in the developing world-but FDI may ultimately have the greater impact. It not only finances new production but is also the means for transferring technologies and best practices to firms and workers in developing countries. The result? Higher productivity, the key to growth and development. Well aware of this, developing countries are aggressively seeking FDI.
In this resource guide produced for USAID, we explore the relationship between FDI and development, present trends and patterns in FDI flows, speculate on the future direction of FDI, offer recommendations on how developing countries can attract FDI, and describe how USAID can assist countries in putting FDI to work for broad, sustainable economic development.