Foreign investor's rights, investment promotion and facilitation agencies: a developmental and sustainable vision

Fifty years ago, the role of foreign investors was at the center of the political debate, with host state - investors disputes showing a geographical North-Southth pattern. The end of the ISI model would signal a new era, including a new relationship with foreign investors. As part of their efforts, developing and emerging countries (DECs) liberalize foreign direct investment (FDI) national policies and to provide fiscal and other incentives to foreign investors. FDI flows were seen as always beneficial: a quantitative approach. Sooner than later, however, policy-makers became aware of the scheme’s pro-investment bias. FDI quality, not quantity, became the new ideal. Latin American countries’ position in the issue, however, remains quantitative objectives still dominate the investment debate. Indeed, a movement towards sustainability would come to question the natural-resource led growth model followed by the region. So, the debate around the treatment of foreign investors remains open.