FDI Qualities Indicators Launch October 2019

•

0 likes•10,114 views

OECD Directorate for Financial and Enterprise Affairs

This document summarizes the launch of the OECD's FDI Qualities Indicators report. The report examines foreign direct investment (FDI) based on several indicators related to productivity, employment quality, skills development, gender equality, and environmental impact. It finds that while foreign firms often have higher productivity than domestic firms, they do not always offer higher wages or invest as much in worker training. The report also shows that FDI is often concentrated in sectors with lower female employment and higher carbon footprints, though investment in renewable energy is growing. The indicators can help countries better understand how to maximize the sustainable development benefits of FDI.

Government & Nonprofit

Launch of the
FDI Qualities Indicators report
Roundtable on Investment and Sustainable Development
Paris, OECD Auditorium, 23 October 2019
Gabriela Ramos, OECD Chief of Staff and G20 Sherpa

Productivity and innovation
Employment and job quality
Skills
Gender equality
Carbon footprint
2
Focus on SDG-based FDI Qualities

3
Foreign firms enjoy a productivity premium – but to
strong varying degrees
-1
0
1
2
3
4
5
MEX
GRC
TUR
CHL
SWE
IDN
COD
KEN
BRA
MOZ
THA
IND
PER
NGA
GHA
BLR
RUS
SLV
ETH
AZE
UZB
ZAF
COL
CRI
VNM
JOR
CHN
PHL
UKR
EGY
MMR
KHM
TUN
MYS
OECD Non-OECD
Source: FDI Qualities Indicators
Do foreign firms enjoy higher average labour productivity than their domestic peers?
(yes if value > 0; no if value < 0)

4
Foreign firm productivity premia translate to better paid jobs
but not to a full extent and not for all workers
Source: FDI Qualities Indicators
-1
0
1
2
3
4
CHL
MEX
GRC
SWE
TUR
COD
GHA
BRA
ARG
MOZ
IND
RUS
IDN
NGA
KEN
PER
ETH
COL
BLR
ZAF
CHN
UZB
CRI
SLV
MMR
EGY
TUN
PHL
THA
VNM
UKR
JOR
KHM
MYS
OECD Non-OECD
Wage premium avg. productivity premium avg. wage premium
Do foreign firms offer higher average wages than their domestic peers?
(yes if value > 0; no if value < 0)

5
In the OECD, on-the-job training occurs less in FDI-
intensive sectors
-0.9
-0.7
-0.5
-0.3
-0.1
0.1
0.3
FRA
NOR
SVK
SWE
IRL
AUT
BEL
USA
CAN
NLD
ITA
KOR
DEU
NZL
FIN
SVN
LTU
EST
JPN
GBR
GRC
DNK
TUR
POL
CHL
ESP
CZE
ISR
Source: FDI Qualities Indicators
Is greenfield FDI concentrated in sectors with higher shares of trained workers?
(yes if value > 0; no if value < 0)

6
FDI is concentrated in sectors with lower female
employment
-0.6
-0.4
-0.2
0.0
0.2
0.4
0.6
MEX
LUX
LTU
GRC
PRT
IRL
HUN
CHE
TUR
FRA
CZE
SVK
KOR
JPN
EST
DNK
CHL
GBR
SVN
USA
ISR
ISL
POL
ITA
FIN
NLD
DEU
SWE
ESP
BEL
AUT
AUS
NOR
OECD
-0.6
-0.4
-0.2
0.0
0.2
0.4
0.6
DZA
KGZ
NGA
IDN
KHM
ARM
MDA
TUN
VNM
TZA
SLV
THA
MAR
MMR
PHL
GTM
MYS
ECU
KEN
BLR
PAN
PER
ZAF
UKR
RUS
CRI
URY
GEO
COL
AZE
GHA
IND
ARG
SAU
EGY
non-OECD
Is greenfield FDI concentrated in sectors with higher shares of female employees?
(yes if value > 0; no if value < 0)
Source: FDI Qualities Indicators

7
FDI in renewables relative to fossil fuels has
significantly increased
Source: FDI Qualities Indicators
Share of renewables in total greenfield FDI flows in the energy sector

Ana Novik, Head of Investment
Division, Ana.Novik@oecd.org
Stephen Thomsen, Head of
Investment Policy Reviews,
Stephen.Thomsen@oecd.org
Martin Wermelinger, Project
Manager, FDI Qualities,
Martin.Wermelinger@oecd.org
Thank you!
For further informationContacts
Policy Framework for Investment
www.oecd.org/investment/pfi.htm
Investment Policy Reviews
www.oecd.org/investment/countryreviews.htm
FDI Qualities
www.oecd.org/investment/fdi-qualities-indicators.htm
MNE Guidelines
www.mneguidelines.oecd.org
8

Similar to FDI Qualities Indicators Launch October 2019

This presentation was prepared for the Diagnostic Workshop with Stakeholders in Cuenca (November 24-25, 2014) in the context of the “Building an Effective Skills Strategy for Spain” project, a collaborative project of the OECD and the Government of Spain. The material was intended as input to the Diagnostic Workshop with Stakeholders and does not aim to provide a comprehensive assessment of Spain’s Skills System. It focuses on the Using Skills pillar of the OECD skills strategy.

Using Skills in Spain – Workshop with Stakeholders

EduSkills OECD

Dutch employees are the most flexible in the world. They adapt best to changing conditions in the labor market . This finding comes from a new PwC research, commissioned by LinkedIn in 11 countries. Dutch professionals strive because of their great ability to adapt and thus are two times more productive than workers in less flexible markets. Mismatches between talent and opportunity, cost the global economy more than € 110 billion in lost productivity and avoidable recruitment fees.

Netherlands has the most flexible workforce in the world. How come?

VBSearch

Adecco_CSR_Report2015_16_Web_FINAL

Lilian Furrer

Since the 1990s, the world has entered a new phase of globalisation. Information and communication technology, trade liberalisation and lower transport costs have enabled firms and countries to fragment the production process into global value chains (GVCs). Many products are now designed in one country and assembled in another country from parts manufactured in several countries. Thirty percent of the value of exports of OECD countries comes from abroad. In this new context, GVCs and skills are more closely interrelated than ever. Skills play a key role in determining countries’ comparative advantages in GVCs. A lot of the opportunities and challenges brought about by GVCs are being affected by countries’ skills. The OECD Skills Outlook 2017 shows how countries can make the most of global value chains, socially and economically, by investing in the skills of their populations. Applying a “whole of government” approach is crucial. Countries need to develop a consistent set of skills-related policies such as education, employment protection legislation, and migration policies, in coordination with trade and innovation policies. This report presents new analyses based on the Survey of Adult Skills and the Trade in Value Added Database. It also explains what countries would need to do to specialise in technologically advanced industries.

OECD Skills Outlook Global Launch - Skills and Global Value Chains

EduSkills OECD

The findings of our report, which track five years of global workforce patterns show that we now have a worldwide talent pool to draw candidates from. Geographic and cultural boundaries as an impediment to hiring have dropped away during the recession as candidates and companies alike have come to understand that they need to consider a global market. As we emerge from the recession, the war for global talent will only intensify and clients will need to think clearly about how they will attract the best talent.

Global professionals on the move 2014

Hydrogen Group

Employee Performance Management: What Your CFO Needs to Know About Culture Be...

Aggregage

Employee Performance Management - What Your CFO Needs to Know About Culture B...

Shelley Reece

CodersTrust Pitch Deck Our business idea is essentially very simple: one of the biggest barriers to technology-based economic development in developing countries is the relatively high cost of - generally poor quality - of appropriate education and particularly access for "base of the pyramid" to education and jobs within the tech-based economy. CodersTrust seeks to provide a readily-accessible, open-to-all, training and education facility providing internships and fully-paid training, offering up to ten times the prevailing minimum wage rates in many parts of Asia and Africa. Our business idea is based on an education system using Internet cafes, schools or community centers where excess capacity can be borrowed/rented by students who get paid for their education while they are working on real development projects as part of their training.

Coders trust pitchdeck 31 01-13

coderstrust

SMEs as key actors for economic resilience, productivity and inclusiveness - ...

OECD CFE

IMD World Talent Ranking 2018

David Martinez Calduch

Legal proposition

Ewan Rawlings

OEDIT Presentation

nado-web

Linkedin and pwc adaptibility report

Rebecca Bouhuijs

GTDW UAE 2017 MAJOR EDITION & EXPO - Program & Exhibition floor plan

Andrew Keable

BDO International Business Compass/

BDO Spain

Megatrends - how economy is changing and what it means for HR

Mark Beatson

Study conducted by LinkedIn and PWC to uncover what’s contributing to the skills gap, and how it’s affecting recruiters, employers and economies. The study, called Adapt to Survive, analyzed millions of interactions from LinkedIn’s network of 277 million professionals and information on 2,600 employers from PwC’s Saratoga database across 11 countries. This report will give you insights on how India is faring on this spectrum.

Adapt to Survive: India Losing Money Over Not Connecting Right Talent with th...

LinkedIn Talent Solutions

http://pwc.to/1fj0jvd PwC a réalisé pour LinkedIn l’étude « Adapt to Survive », qui recoupe pour la première fois certaines informations des profils des membres du réseau LinkedIn dans 11 pays et les données issues de 2600 entreprises étudiées par PwC Saratoga, l’une des principales bases de données RH au niveau mondial. L’étude montre ainsi que la faible adaptabilité des compétences – difficulté des personnes à se former à de nouveaux savoir-faire ou à changer de secteur d’activité – coûte à l’économie mondiale 150 milliards de dollars en manque de productivité et renchérit les coûts de recrutement. Une analyse qui permet à PwC de lancer l’Index d’Adaptabilité des Compétences, qui positionne en tête les Pays-Bas, le Royaume-Uni et le Canada. La France prend la 7ème place du classement (sur 11 pays étudiés).

Etude PwC pour Linkedin sur le coût de l'inadéquation des compétences (2014)

PwC France

Similar to FDI Qualities Indicators Launch October 2019 (18)

Using Skills in Spain – Workshop with Stakeholders

Netherlands has the most flexible workforce in the world. How come?

Adecco_CSR_Report2015_16_Web_FINAL

OECD Skills Outlook Global Launch - Skills and Global Value Chains

Global professionals on the move 2014

Employee Performance Management: What Your CFO Needs to Know About Culture Be...

Employee Performance Management - What Your CFO Needs to Know About Culture B...

Coders trust pitchdeck 31 01-13

SMEs as key actors for economic resilience, productivity and inclusiveness - ...

IMD World Talent Ranking 2018

Legal proposition

OEDIT Presentation

Linkedin and pwc adaptibility report

GTDW UAE 2017 MAJOR EDITION & EXPO - Program & Exhibition floor plan

BDO International Business Compass/

Megatrends - how economy is changing and what it means for HR

Adapt to Survive: India Losing Money Over Not Connecting Right Talent with th...

Etude PwC pour Linkedin sur le coût de l'inadéquation des compétences (2014)

More from OECD Directorate for Financial and Enterprise Affairs

OECD Competition Trends 2024 - Highlights

OECD Directorate for Financial and Enterprise Affairs

This presentation by Cristina Camacho, Head of Cabinet and Head of International Relations, Portuguese Competition Authority, was made during the discussion “Use of Economic Evidence in Cartel Cases” held at the 22nd meeting of the OECD Global Forum on Competition on 8 December 2023. More papers and presentations on the topic can be found out at oe.cd/egci. This presentation was uploaded with the author’s consent.

Use of Economic Evidence in Cartel Cases – CAMACHO – December 2023 OECD discu...

OECD Directorate for Financial and Enterprise Affairs

This presentation by William E. Kovacic, Global Competition Professor of Law and Policy and Director, Competition Law Center, The George Washington University, was made during the discussion “Ex-post Assessment of Merger Remedies” held at the 22nd meeting of the OECD Global Forum on Competition on 8 December 2023. More papers and presentations on the topic can be found out at oe.cd/eamr. This presentation was uploaded with the author’s consent.

Ex-post Assessment of Merger Remedies – KOVACIC – December 2023 OECD discussion

OECD Directorate for Financial and Enterprise Affairs

This presentation by John E. Kwoka, Neal F. Finnegan Distinguished Professor of Economics, Northeastern University, was made during the discussion “Ex-post Assessment of Merger Remedies” held at the 22nd meeting of the OECD Global Forum on Competition on 8 December 2023. More papers and presentations on the topic can be found out at oe.cd/eamr. This presentation was uploaded with the author’s consent.

Ex-post Assessment of Merger Remedies – KWOKA – December 2023 OECD discussion

OECD Directorate for Financial and Enterprise Affairs

Ex-post Assessment of Merger Remedies – FLETCHER – December 2023 OECD discussion

OECD Directorate for Financial and Enterprise Affairs

Ex-post Assessment of Merger Remedies – OECD – December 2023 OECD discussion

OECD Directorate for Financial and Enterprise Affairs

Use of Economic Evidence in Cartel Cases – DAVIES – December 2023 OECD discus...

OECD Directorate for Financial and Enterprise Affairs

This presentation by Simon Roberts, Professor, Centre for Competition, Regulation and Economic Development, University of Johannesburg, was made during the discussion “Use of Economic Evidence in Cartel Cases” held at the 22nd meeting of the OECD Global Forum on Competition on 8 December 2023. More papers and presentations on the topic can be found out at oe.cd/egci. This presentation was uploaded with the author’s consent.

Use of Economic Evidence in Cartel Cases – ROBERTS – December 2023 OECD discu...

OECD Directorate for Financial and Enterprise Affairs

Alternatives to Leniency Programmes – SERBIA – December 2023 OECD discussion

OECD Directorate for Financial and Enterprise Affairs

Alternatives to Leniency Programmes – ITALY – December 2023 OECD discussion

OECD Directorate for Financial and Enterprise Affairs

This presentation by Daniel CRANE, Richard W. Pogue Professor of Law, University of Michigan, was made during the discussion “Out-of-Market Efficiencies in Competition Enforcement” held at the 141st meeting of the OECD Competition Committee on 6 December 2023. More papers and presentations on the topic can be found out at oe.cd/omee. This presentation was uploaded with the author’s consent.

Out-of-Market Efficiencies in Competition Enforcement – CRANE – December 2023...

OECD Directorate for Financial and Enterprise Affairs

Out-of-Market Efficiencies in Competition Enforcement – DAVIES – December 202...

OECD Directorate for Financial and Enterprise Affairs

This presentation by Nancy ROSE, Head of the Department of Economics and Charles P. Kindleberger Professor of Applied Economics, Massachusetts Institute of Technology (MIT), was made during the discussion “Out-of-Market Efficiencies in Competition Enforcement” held at the 141st meeting of the OECD Competition Committee on 6 December 2023. More papers and presentations on the topic can be found out at oe.cd/omee. This presentation was uploaded with the author’s consent.

Out-of-Market Efficiencies in Competition Enforcement – ROSE – December 2023 ...

OECD Directorate for Financial and Enterprise Affairs

Out-of-Market Efficiencies in Competition Enforcement – ROSENBOOM – December ...

OECD Directorate for Financial and Enterprise Affairs

Serial Acquisitions and Industry Roll-ups –TZANAKI – December 2023 OECD discu...

OECD Directorate for Financial and Enterprise Affairs

Serial Acquisitions and Industry Roll-ups – GOGA – December 2023 OECD discussion

OECD Directorate for Financial and Enterprise Affairs

This presentation by Ioannis KOKKORIS, Chair in Competition Law and Economics and Director, Centre for Commercial Law Studies, Queen Mary University of London, was made during the discussion “Serial Acquisitions and Industry Roll-ups” held at the 141st meeting of the OECD Competition Committee on 6 December 2023. More papers and presentations on the topic can be found out at oe.cd/sair. This presentation was uploaded with the author’s consent.

Serial Acquisitions and Industry Roll-ups – KOKKORIS – December 2023 OECD dis...

OECD Directorate for Financial and Enterprise Affairs

Serial Acquisitions and Industry Roll-ups – OECD – December 2023 OECD discussion

OECD Directorate for Financial and Enterprise Affairs

This presentation by Simonetta VEZZOSO, Associate Professor, Economics Department, University of Trento, was made during the discussion “Competition and Innovation - The Role of Innovation in Enforcement Cases” held at the 141st meeting of the OECD Competition Committee on 5 December 2023. More papers and presentations on the topic can be found out at oe.cd/rbci. This presentation was uploaded with the author’s consent.

Competition and Innovation - The Role of Innovation in Enforcement Cases – VE...

OECD Directorate for Financial and Enterprise Affairs

Competition and Innovation - The Role of Innovation in Enforcement Cases – OE...

OECD Directorate for Financial and Enterprise Affairs

More from OECD Directorate for Financial and Enterprise Affairs (20)