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Trends in FDI in Developing Countries: Background
During the past two decades, a number of developing countries witnessed a growing importance of FDI as the primary source of financial capital flows into their economy. FDI brings not only increased access to foreign exchange, trade and employment, but also new products, information and technology. It is no coincidence that this rapid growth of FDI was accompanied by an increase in the level of human capital. The latter was achieved by strong government commitments to expand formal education and vocational training along with improved enterprise efforts to improve training opportunities for workers. This section looks at recent trends in both FDI and HRD in order to highlight the magnitude of this issue as well as to explain some of the key issues raised in this paper.

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