3 ms·

A country that _Doesnt_ want to more capital flowing into their companies? Sounds pretty weird no?

• hakfoo 4y ago
  The capital comes at the cost of sovereignity. They have decided it's better to avoid their local businesses being beholden to foreign investors, which is a case that can be argued. If you're being directed mostly by overseas investors who will never see your actual operation in person, that increases the pressure to cook the books, either on a direct accounting-level basis, or by cutting corners in operations, environmental or labour standards, or product quality. Notice how some countries insist on joint ventures with a 51% local partner, which similarly ensures there's some local skin in the game.