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By V. N. Balasubramanyam

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Most of the effort is to be made by policy makers in the host countries. Host country transparency and the rule of law are listed among the top concerns of investors that policies towards attracting FDI must address. Another very important aspect is the size of the host economy, as evidenced by China’s success with attracting FDI. Even small countries can boost the size of “their” market by pursuing policies of general openness to trade regulations. First and foremost, sound policies for attracting FDI and reaping benefits from foreign corporate presence are very similar to policies for mobilising domestic resources.

2000. , Globalization and Labour in the Asia Pacific Region, London, Frank Cass. MTUC, 2002. Report of the General Council 1999-2001. Kuala Lumpur. , 1999. “Electronic Workers: Their 25 Years of Struggle to Establish an Industrial Union, MTUC 50th Anniversary Publication”, Kuala Lumpur. Ramasamy, P. 2002b. “Labour and Trade Unionism in Malaysia”, Paper presented at the Australian National University” Ramasamy, P. 2002a. “Migrant Labour in Malaysia” Dr Kamarudin M. Said – Positive Labour Relations in a Globalized Economy.

C) Most of the private capital inflows to Asia reflect the sustained and increased level of FDI to the People's Republic of China. In the region around 80 per cent of FDI ends up in China. So one should have a quick look at China first, when talking about FDI in Asia. 39 Enabling Environment for FDI: a first look at the PRC FDI inflows into the People’s Republic of China (PRC) have increased since 1992 and reached a new record of $47 billion in 2001. This large amount dwarfs the inflows into other emerging market economies in Asia.

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