ABSTRACT

As demonstrated in Part II, the debate by the key players on a global regulatory framework for FDI is centred on two themes: more openness (full liberalisation) or more regulation. Developed countries, the multilateral financial institutions like the IMF and World Bank, business groups and some developing countries advance the idea of having a more liberal regime at both global and national levels. Most developing countries and various NGOs, such as consumer organisations, environmental activists and the labour movement, on the other hand see danger in an extensive liberalisation of investment rules and mostly argue that what is needed is regulation. This chapter evaluates the strategies and two positions of the key players. Also, the implications of the Multilateral Agreement on Investment (MAI) will be discussed.