Publisher's Synopsis
While there is broad consensus on the need for developing countries to attract foreign investment to enhance their growth performance, a number of countries are anxious to maintain restrictions to overall liberalisation. Trade and investment is currently being debated by the WTO with a view to developing a Multilateral Investment Agreement (MIA) which would lay down rules on the use of subsidies and other incentives designed to attract investment insofar as they might reduce or distort international trade flows. This volume contains four studies of investment incentives and subsidies currently available for small businesses, economically- disadvantaged or remote areas and indigenous or minority groups in the four developed countries of the Commonwealth: Australia, Canada, New Zealand and the United Kingdom. They were commissioned by the Commonwealth Secretariat to show the breadth and diversity of such incentives in the developed world and, by implication, the wide diversity of such measures that are WTO-compatible, do not infringe, or that are not seen as infringing the rules on investment agreed under the GATT 1994 or the GATS. The introductory chapter examines these rules. The proposed MIA is also evaluated in terms of the limits it may place on developing countries. Next, the four studies of investment incentives currently in effect in the developed countries are summarised and examined in terms of lessons that can be drawn by developing countries. Useful contact addresses and websites for programmes and incentives outlined are given. This title will be specific relevance to trade investment decision-makers in the public policy field. Michael Davenport is an independent international trade consultant and adviser on economic affairs. He has written extensively on international trade and economic issues.
