FDI and Commodities

According to ECLAC, there is a lot of Foreign Direct Investment in Latin America, even as global FDI has slowed. It's great, right? Investor confidence, stability, growth, good things like that. Well, sort of.

According to the report, FDI is increasingly aimed at exploiting natural resources, particularly in South America. The importance of manufacturing is limited except in Brazil and Mexico.

Right back to square one. Or just still at square one, really. This investment makes GDP growth look wonderful, but does not necessarily have much impact on poverty, inequality, and other very pressing problems.