FDI Qualities Policy Toolkit
Foreign direct investment (FDI) is an important source of finance for governments looking to meet global commitments on sustainable development. But, beyond the quantity of FDI, its quality also matters. The FDI Qualities Policy Toolkit complements the OECD Policy Framework for Investment by providing more detailed and tailored guidance on priorities for policy and institutional reforms that can enhance the impacts of investment in four areas of the Sustainable Development Goals (SDGs): productivity and innovation, job quality and skills, gender equality, and decarbonisation.
Policies for improving FDI impacts on carbon emissions
This chapter presents a Policy Toolkit to help governments attract foreign direct investment (FDI) that contributes to decarbonisation, both by reducing the emissions associated with foreign investments and inducing low-carbon spillovers to domestic firms. The chapter describes the channels through which FDI affects carbon emissions and the contextual factors determining the magnitude and direction of such impacts. The objective of the Policy Toolkit is to provide an overview of the policy choices that can improve the impacts of FDI on decarbonisation.
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