Capital flows over the past 15 years have proved volatile in the wake of series of challenging global events. The OECD’s Etienne Lepers highlights recent trends in capital flows based on insights from a new OECD dataset that monitors monthly flows. Capital flows have experienced successive waves since the global financial crisis and their volatility … Continue reading Following capital flows: Insights from new high-frequency data
Why are global FDI flows falling and what can governments do?
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.
Making investment work for green growth
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.
In the fight against deforestation, companies can turn to due diligence tools
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.
How can MENA governments harness the benefits of foreign direct investment?
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.
Global policy responses to capital flow volatility
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.
Can development aid enhance the resilience of investment in developing countries?
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.
Can foreign direct investment improve the resilience of health systems?
Health systems are facing the most serious global pandemic crisis in a century, sparking discussions among policymakers on how to strengthen their resilience.
Foreign direct investment during the pandemic: A buffer for jobs?
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.
How can fashion brands mitigate the negative impacts of the COVID-19 pandemic on garment workers?
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.