We have increased Government investment in infrastructure and made a concerted and, to this point, successful effort to attract greater volumes of private capital.
Net private capital inflows to developing economies have declined, from a peak of around $700 billion registered in 2007 to less than $400 billion in 2009.
Africa, unlike other regions of the world, continues to receive extremely low foreign private capital investment, and declining levels of official development assistance(ODA), while facing an increasing debt burden.
International Institute of Finance," Net private capital flows to emerging markets rose sharply in 2003 and are set to continue at robust rate in 2004", Press Release, 16 January 2004[www. iif. com].
For middle-income countries, the links between growing trade deficits, excessive reliance on unstable forms of private capital inflows and currency crises are also evident(see UNCTAD 1999, 2002).
Investment Net private capital flows to developing countries grew in 2003 by more than $70 billion, although their level remained substantially below the average figures attained in the early 1990s.
The NEPAD blueprint underlines the importance of increasing private capital flows to Africa and identifies priorities including efforts to address misperceptions of risk, building private-public partnerships and deepening capital markets.
Remittances sent home to developing countries by migrants working in developed countries- a growing number of whom are women- have recently become significant private capital flows.
不过,这是一个规模问题,因为现有工具可能不足够,而且需要动员更多的私人资本以实现这些目标。
It is, however, a question of scale, as existing instruments may not be sufficient, and more private capital needs to be mobilized in order to achieve the objectives.
Utilize more effectively official funding sources such as investment credit, trade and investment insurance to enhance PPP and leverage private capital flows to Africa.
Since equity capital constitutes a major proportion of the private capital flows to developing countries, many such countries are seeking to attract capital by pursuing policies of privatization of productive assets such as land.
Cross-border private capital flows are made up of several components: FDI constitutes a major part of private capital flows to developing countries and is considered to be the most stable form of foreign capital..
Recent inflow, albeit relatively small, of private capital into Africa demonstrates that, with appropriate institutions, structures, and policies, Africa could potentially be a beneficiary of much higher inflows.
What national and international measures can be taken to increase the stability of private capital flows to middle-income countries and to mitigate the impact of financial volatility on their economies?
Mr. Bamba(Côte d' Ivoire) said that the slowdown in net flows of private capital, especially ODA, towards the developing countries in 2011, gave grounds for concern.
Although FDI is generally the most stable component of private capital flows to developing countries, studies have shown that FDI in the financial sector is destabilizing and procyclical.
With regard to the substantial increase in private capital flows to developing countries, he cautioned that, historically, such flows had been volatile and subject to reverses during periods of recession.
Forecasts for private capital flows to developing and transition economies for the second half of 1998 and for 1999 were revised sharply downwards in the aftermath of the Russian crisis during the summer of 1998.
Through measures to mitigate some of the risks facing private investors, multilateral organizations and Governments can try to attract a greater volume of private capital into infrastructure projects.
Nevertheless, despite the upward forecast for 2010, the overall level of private capital flows to developing countries is likely to remain well below the peak registered in 2007.
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