Global flows of foreign direct investment (FDI) have been declining for several years, well before the pandemic hit in early 2020. While these flows can be cyclical, as with any other type of investment, they have been falling both in absolute amounts and relative to overall GDP for several years, causing many to wonder whether there has been a structural change in the global economy. OECD’s Stephen Thomsen takes a look at this worrying trend and at what governments can do about it.
Foreign direct investment (FDI) that fosters green growth and development while preserving natural assets will make a key contribution to efforts to curb climate change and achieve the SDGs. In the run-up to COP26, the OECD’s Iris Mantovani explores the contribution of FDI to lowering carbon emissions and advancing green growth.
Behind every deforestation struggle is a global supply chain. The demand for commodities in one place can lead to the loss of forest in another, particularly when forest area is converted to other land uses such as agricultural production. This column looks at how the OECD Guidelines for Multinational Enterprises and related due diligence guidance can help companies understand how they can help address biodiversity challenges, amongst other environmental risks, in their business operations, supply chains and relationships.
Economies in the MENA region are striving to create a business environment that attracts foreign direct investment. The OECD’s Sarah Marion Dayan throws a spotlight on what governments can do to leverage investment and support development goals.
The COVID-19 health and economic crisis has once again focused attention on the fickleness of capital flows and the need to have an adequate policy toolkit to manage the risks that stem from these flows, while maximising their benefits.
The current crisis is stretching developing countries’ financing capacities to their limits. Already suffering from rising debt levels and the risk of debt distress, and insufficient domestic and external financing resources, developing countries are now struggling to mitigate the interrelated health, humanitarian and economic effects of the pandemic.
Health systems are facing the most serious global pandemic crisis in a century, sparking discussions among policymakers on how to strengthen their resilience.
The Covid-19 pandemic has caused a global humanitarian, social and economic crisis. Poverty will rise for the first time since 1998, with hundreds of millions of jobs lost and livelihoods affected. Many of the jobs affected by the pandemic depend on investments and operations of multinational enterprises (MNEs) and their buyers and suppliers in global value chains. But foreign direct investment (FDI) is estimated to fall by at least 30% in 2020 – meaning that fewer jobs than expected have been and will be created.
With the COVID-19 pandemic provoking a global health and economic emergency, the OECD’s Dorothy Lovell looks at how OECD guidance on responsible business conduct can help governments and business address the impacts of COVID-19 in a way that mitigates harm to workers and supply chains in the garment sector.
OECD's Hannah Koep-Andrieu reports back from the DR Congo’s Copperbelt on due diligence efforts to improve conditions in cobalt and copper supply chains