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Why is FDI so important?

Why is FDI so important?

Foreign direct investment is when an investor living in one country invests in a business based in another country. Under FDI, the foreign investor (individual or business) owns 10 per cent of the company where the investment is being made. If the investor owns less than 10 per cent, the International Monetary Fund (IMF) defines it as part of his or her stock portfolio. A 10 per cent ownership is a safe bet because it does not give the investor…

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