28 Jan 11 - Proactive and considerate investment policy making is more important than ever
UNCTAD Investment Policy Monitor reveals the most recent trends in investment policy making.
The UNCTAD Investment Policy Monitor shows an ongoing trend of liberalizing and facilitating foreign investment. At the same time, the rebalancing of rights and obligations of private investors vis-à-vis the State continues. This development manifests itself in stronger regulation of individual industries, and an increase in State ownership and control in areas of strategic importance. State influence has also grown in the aftermath of the financial crisis.
These are some of the findings of UNCTAD's fourth Investment Policy Monitor, a regular publication that provides the international investment community with country-specific, up-to-date information about the latest developments in foreign investment policies, both at the national and international level.
During the period under review in this Monitor (1 October 2010-15 January 2011), at least 27 countries introduced new national investment policy measures. At the international level, 58 economies concluded 32 new international investment agreements (IIAs), including 23 double taxation treaties, five bilateral investment treaties and four other IIAs.
Proactive and considerate investment policymaking is ever more important in light of today's global investment trends. While industrial production and trade have recovered to the pre-crisis levels, foreign investment and employment are lagging behind. Policymakers need to identify means of encouraging private investment so as to sustain economic recovery in the years to come, says the UNCTAD report.
This is in line with the policy thrust emanating from the G-20 Seoul Summit in the Republic of Korea on 11-12 November 2010, where world leaders confirmed their commitment to resisting investment protectionism, with a view to generating strong, sustainable and balanced growth.