oa Codicillus - Foreign direct investment in South Africa
In this article the author lists and discusses a number of reasons for poor capital flows in South Africa. These include portfolio investment, the loss of skilled labour through increasing immigration, the "big bang theory" on investment, the lack of further privatisation as well as political instability in the region and the high crime rate. He concludes that, although foreign direct investment is becoming more prevalent as one of the major sources of capital flows into developing countries and although developing countries have become more proactive in promoting themselves as viable investment destinations, this does not guarantee the right type of foreign direct investment.
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