Dec 12 2007
What price the benefits of foreign investment?
…The smelters use more electricity than the rest of Mozambique combined. The company imports most of its raw material and equipment duty-free, and enjoys an extensive list of incentives ranging from discounted electricity to a prolonged tax holiday. It also has the right to repatriate profits. The result is an isolated economic enclave that uses large quantities of scarce resources without returning revenue or jobs to the economy…
Read the rest of this article here. What do you think? It is a bit sophisticated with language, so feel free to ask some questions, but this trend of foreign investment as a tool for poverty reduction not working is very common. What do you think? What questions do you have?
