Trends in Private Investment in Developing Countries : Statistics for 1970-2000 and the Impact on Private Investment of Corruption and the Quality of Public Investment
The report is part of the continued investigation on the public-private investment relationship, and its focus for this year is on the quality of public investment, its interaction with corruption, and the resulting impact on private investment. Th...
| Main Authors: | , |
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| Language: | English en_US |
| Published: |
Washington, DC: World Bank and the International Finance Corporation
2013
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| Online Access: | http://documents.worldbank.org/curated/en/2001/09/1620972/trends-private-investment-developing-countries-statistics-1970-2000-impact-private-investment-corruption-quality-public-investment http://hdl.handle.net/10986/13989 |
| Summary: | The report is part of the continued
investigation on the public-private investment relationship,
and its focus for this year is on the quality of public
investment, its interaction with corruption, and the
resulting impact on private investment. The first chapter
provides statistics on trends in private, and public fixed
investment in sixty three developing countries, with a
substantially expanded sample coverage of the Eastern Europe
and Central Asia Region, as well as some smaller economies
of the Latin America and Caribbean Region. On average, the
ratio of private investment to GDP, declined in 1999
compared to 1998, while public investment increased in
simple average terms, and remained at 1998 levels in
weighted average terms. The 1999 decline brings investment
ratios back to their 1995 level, and, preliminary
(incomplete) estimates for 2000, suggest that private
investment may be poised for a return to growth. The second
chapter examines whether higher levels of public investment
are associated with higher, or lower levels of private
investment, the impact of corruption on this relationship,
and the long-run implications for growth, and sustainable
development. The paper is consistent with the hypothesis
that corruption lowers the quality of public investment, and
that this reduced quality is associated with lower private investment. |
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