Liberty Discussion is a program designed to engage and inform the core members on the ideas of market economy and classical liberal ideas. Discussions are made on contemporary issues (local or national) through open market perspective. The article is selected and shared within the members to prepare oneself for the program. The program is organized at the venue of Bikalpa – an Alternative on every alternative Saturday (twice a month).
Bikalpa, an Alternative, organized a regular Liberty discussion on ‘Foreign Direct Investment’ on 23 January 2021. The discussion started with a question from the moderator on what is Foreign Direct Investment. , What are the pros and cons of Foreign Direct Investment? The discussion began with participants expressing their views on how FDI in developing countries can benefit both the host countries and the multi-national corporations (MNCs). Participant’s further added FDI adds financial resources through investment and by paying taxes. It also creates employment, transfer of skills and technology, managerial expertise, and corporate governance practices. Foreign direct investment plays a vital role in the financing of the global economy. It helps in capital inflow and creates a competitive market in the country.
During the discussion, some of the participants also pointed out that FDI affects small-scale industries products produced in the local market due to the onslaught of the products coming from FDIs. They also argued there would be cartels to control the market and form a market monopoly. While others said in today’s global market, the demand for foreign investment is vast, and the government should conduct many activities to create a more favorable environment to attract investors. Overall, the participants also shared their valid views on the topic. The session resulted in a fruitful and impassioned discussion.
