The developing regions in fDi’s latest ‘countries of the future’ awards also feature on the agenda of world leaders. Lessons can be learnt from the success of the winners, says Courtney Fingar.

The results of fDi’s first ever ‘countries of the future’ benchmarking exercises for Africa, the Caribbean and Central America were not terribly surprising. South Africa, Puerto Rico and Costa Rica took the top prizes for their respective regions. (In a separate competition, Distrito Federal won as the most attractive state in Mexico for foreign investment.)

Despite the current political crisis engulfing Philippines president Gloria Macapagal-Arroyo, who is facing impeachment, the government insists it will press on with economic reform.

Afghan president Hamid Karzai, who was in London to meet UK prime minister Tony Blair on July 19, made time to give a sales pitch to potential investors and to personally launch fDi’s recent special supplement on investing in Afghanistan.

The US Supreme Court is much in the news, largely because of the current and prospective turnover in its membership. Businesses and economic development officials have also been watching the court’s moves in its recent affirmation of the power of eminent domain (Kelo v. City of New London).

Private German companies are moving towards longer working hours and greater flexibility, says the German Chamber of Industry and Trade (DIHK). The DIHK hopes that the trend could lead to lower labour costs.

Overshadowed by news of suicide bombs in London, last month’s G8 summit at Gleneagles in Scotland produced a few worthy but ultimately unmemorable headlines on tackling poverty and climate change. The bombers hijacked the world’s attention just as it was hoped that rich-country leaders would do something positive for poorer countries and the planet.

Toyota is set to make a significant expansion in south-western Ontario with plans for a new $650m plant employing 1300 people. It is the first greenfield auto assembly facility in Canada in nearly 20 years.

More than 1000 business leaders gathered in Chattanooga, Tennessee, for the US’s first community innovation award, the Kruesi Award, and the city’s first Technology Innovation Award. The awards attracted the attention of Bill Ford, chairman and CEO of Ford Motor Company, who gave the keynote speech.

The Kruesi Award (won by Specialized Enterprises Inc) recognises local businesses that exemplify an innovative spirit.

As competition for a piece of the Asia FDI pie heats up, IPAs must not only understand the market and the culture but must prove a genuine wish to serve their investors. Below are some of the dos and don’ts of landing business in the region.

South Africa is reviewing three investment incentives programmes with the aim of promoting labour-intensive projects in general, and projects in the poorer areas of the country in particular. The programmes under review are the strategic industrial projects incentive, the competitiveness fund and the sector partnership fund.

SYSMEX TO CONSTRUCT US REAGENT PLANT:

Japanese medical diagnostics company Sysmex is to construct a plant in Illinois, headquarters of its US subsidiary, Sysmex America.

DELL TO LAUNCH NEW CENTRE IN IRELAND:

Dell Inc, the Texas-based diversified IT supplier, is to establish an Engineering Centre of Competency for Communications and Network Product Development at its Limerick facility in Ireland.

KIA EVALUATES US PLANT LOCATION:

South Korean auto company Kia Motors is reported to be considering constructing a plant in the US. The company has met with the Mississippi governor to discuss the feasibility of building a Kia Motor plant in the southern US state, it said.

Laminar Medica, a UK-based manufacturer of transport systems for healthcare facilities, has so far invested €1.7m in constructing a plant in the Czech Republic. The 204 square metre operation is located at Vodnany, south of Prague, in Bohemia.

At a soiree in Seoul, global winner Mayor Lee Myung-bak collects his prize and thanks the city’s people for their hard work. In London, regional winners are recognised for Africa, Europe, Middle East, Latin America and North America.

Mayor Lee Myung-bak hosted a luncheon at Seoul’s City Hall on June 7 to celebrate his selection as fDi’s Personality of the Year 2005.

Nissan’s reversal of fortunes over the past two years has been nothing less than astonishing. For the North American part of the company, the secret to its success lies in the south-eastern corner of the US.Karen Thuermer reports.

In the auto manufacturing industry, Nissan is referred to as the quintessential turnaround story.

Hosting the Olympics brought improved infrastructure, a higher profile and a more vibrant cultural life to Athens. Mayor Dora Bakoyannis tells Courtney Fingar how the 2004 Games gave new life to this ancient city.

When it was announced in July, to nearly everyone’s great surprise, that London would host the 2012 Olympic Games, Dora Bakoyannis wasted no time in extending her heartiest congratulations.

Tanil Küçük, head of the Istanbul Chamber of Industry, tells Metin Demirsar how the city, which straddles East and West, welcomes investment in a wide range of fields and how it is aligning its legal and tax system with that of the EU.

Tanil Küçük, president of the Istanbul Chamber of Industry (ISO) – a group that brings together 11,885 manufacturing companies in greater Istanbul – would like to see more foreign companies invest in services, culture, finance, tourism and high-tech industries in Turkey’s largest city.

Argentina is locked in an ugly legal dance with foreign investors who accuse it of trampling over bilateral investment treaties. As the government contemplates its next move, Luke Peterson assesses the implications for the nascent international investment protection regime.

Once Argentina had to devalue, the Argentine government lawyer insists, it would have been impossible to insulate foreign investors and their contracts from such a requirement. Otherwise, he says: “Nobody would be able to pay for anything. Overnight, you would have had to pay 300% more” for public services such as water or electricity if investors could continue to set prices in inflation-indexed US dollars.

Mexico’s states boast major infrastructure projects, innovative investment incentives and a well educated workforce. Foremost among them are fDi’s Mexican State of the Future, Distrito Federal, and runner up Nuevo León.

THE JUDGING PANEL:

Votes were cast by members of fDi’s editorial team as well as by the following independent guest judges:

The government of Aguascalientes is working on many fronts to make the Mexican state an ideal place to invest – and the strategy is already paying off.

Aguascalientes lies 2000 metres above sea level on the Anáhuac plateau and owes its name to the thermal springs found in this central area of Mexico. It is the country’s fifth smallest state, with about a million inhabitants, of which 60% reside in Aguascalientes city.

Cattle are raised on the wide plains and in the foothills. Crops such as alfalfa, maize, wheat, chillies and peaches are grown.

Central American countries show an improving picture in transport and education, IT and quality of life. But Costa Rica leads them by a clear margin.

THE JUDGING PANEL:

Votes were cast by members of fDi’s editorial team as well as by the following independent guest judges:

Already popular for its sun and sand, the Dominican Republic is putting efforts into diversifying and is now promoting its many benefits to international technology companies.

The Caribbean is a hive of activity, with plenty of infrastructure development and healthy economies. Leading the way is Puerto Rico, which fDi names Caribbean Country of the Future in this first biannual contest.

THE JUDGING PANEL:

Votes were cast by members of fDi’s editorial team as well as by the following independent guest judges:

The Cayman Islands are more than just a tourist paradise; the financial services sector is also extremely attractive.

South Africa scooped the top prize in this year’s awards, leading the way in many categories, with Tunisia taking a strong second place.

THE JUDGING PANEL:

Votes were cast by members of fDi’s editorial team as well as by the following independent guest judges:

Tunisia has focused on developing its human resources, leading to great social and economic progress.

The Sokhna Port and Logistics Centre is part of a catalytic plan to raise Egypt’s economy in the Middle East and is already having a marked impact on the region.

Egypt may be the land of pharaohs, pyramids and sphinxes but today this key Middle East nation is centring itself on economic reform. An important driver in that effort and one that is poised to have a long-term impact is the Sokhna Port Development Company with its state-of-the-art Sokhna Port and Logistics Centre.

South Africa’s FDI fortunes are mixed but auto manufacturers are driving investment in the country’s industrial sector, reports Steven Swindells.

The targeted services and activities of Trade and Investment South Africa demonstrate a high level of commitment to attracting investment into the country.

As outsourcing fever continues to grip the corporate world, shared services centres seem to be multiplying, and popping up in some surprising places.Karen Thuermer reports.

Barcelona is a vibrant city that is attracting companies, investors and a talented workforce from across the globe.

As the western Balkan countries haggle with the EU over entrance, investors with an eye for discounts and a stomach for the risk are cashing in while they still can.Tom Blass reports.

Already one of the world’s best managed cities, Singapore is upgrading its FDI offering by reinventing its urban landscape.Tony Sitathan reports.

Guangzhou, in the Pearl River Delta, has the third biggest economy among China’s cities with a GDP of $411bn. Yet just two decades ago it was a farming backwater.Courtney Fingar investigates.

Over the past two decades the Pearl River Delta (PRD) has been a pioneer of Chinese economic development, leading the way towards reform, openness and modernisation. It was from here that China took its first tentative steps into the global marketplace, sometimes stumbling but nonetheless setting a stellar example for the rest of the country to follow.

Despite the double-whammy of SARS and the 1997 financial crisis, Hong Kong is bouncing back and taking on all comers, including tough competitors from the mainland.Courtney Fingar reports.

Giving visitors a tour of B&Q’s vast, two-storey, orange-doused store in Guangzhou, China, general manager Jacy Zhu shows off some violin-shaped clocks.“Made in China,” she remarks proudly.

The Busan-Jinhae Free Economic Zone is generating international interest, offering a financially attractive location for a broad scope of industries.

Located on the south-eastern coast of the Korean peninsula, the Busan-Jinhae Free Economic Zone (BJFEZ) is set to become a world-class hub port of north-east Asia. Spearheaded by the national government, which is offering generous incentives to incoming foreign investors, the entire area consists 25,900 acres.

Self-made businessman Muhammad Lutfi, the new chief of Indonesia’s investment co-ordinating board, talks to Tony Sitathan about his plans to transform the agency and his hopes for making the country a safe investment haven.

Muhammad Lutfi is the new head of the Indonesia’s investment co-ordinating board (Badan Koordinasi Penanaman Modal – BKPM). He replaces Theo Toemion, who was officially dismissed by Indonesian president Susilo Bambang Yudhoyono.

Success story, plus plenty of opportunities for investors, made Thailand a premiere automotive hub of Asia.

Utility companies hoping to win new business are finding it is not enough just to have a good delivery record. As Erika Morphy reports, expanding their customer bases through investment promotion is more critical than ever.

Excitement surrounds the nanotech industry but it is still too early to tell how much of the hype is justified. Karen E Thuermer explores the huge potential of small science.

The decision to outsource parts of a business can cause fear and stress among its employees and customers. But it needn’t be that way. The Trestle Group offers some advice on managing change during an outsourcing initiative.

Given its massive size and excellent scientific education, Russia should be a high-tech powerhouse and a proper rival to China and India for FDI inflows. But it will not be until the country cleans up its international image, says Bill Robinson.

Despite some (legitimate) fears about eastern locations replacing Mexico as a favoured destination for US investment, big names such as Ford and Wal-Mart continue to pile money into Mexico.

OCO Consulting’s Central America data suggests the region is not overly reliant on any single industry for FDI.

Spanish companies are keen on the Caribbean, OCO Consulting’s number-crunching reveals.

Predictably, the largest foreign investors in Africa, by sheer number of projects, are oil companies, with ExxonMobil, ChevronTexaco and Royal Dutch Shell Group rounding out the top three.

As if there were any doubts about India’s dominance of the shared services centre (SSC) market, OCO Consulting’s latest figures should put them to rest.

Canada is inching up on India as the top destination for investment in customer support centres, capturing just a handful fewer projects than the south Asian outsourcing giant in the three years to June, according to OCO Consulting.

US companies are much more willing to outsource technical support than their foreign competitors, data from OCO Consulting suggests.

Last year, about 10,000 investors, property developers, architects and designers from more than 80 countries convened in Dubai for the third annual Cityscape forum – a 500% increase in numbers on the previous year’s event.

Changes to the leadership of the Gulf Co-operation Council states are fuelling the growth of a new market and opening doors, as Mark Ford explains.

The United Arab Emirates is getting in on the property action, with Dubai leading the way.William McSheehy explains how it has become home to some of the world’s most extraordinary and iconic developments.

The opening up of the housing market to non-UAE nationals has led to a boom in interest. But prospective buyers should be aware that the financial and legal infrastructure is still being developed, as William McSheehy explains.

Foreign investors can now buy into new developments, marking a giant step forward for Bahrain’s emerging market, writes Mark Ford.

Qatar’s rulers are opening up the state to foreign buyers, although careful restrictions are still being imposed, writes Eleanor Gillespie.

Massive investments are being made in Saudi Arabia by locals, as the region’s sleeping giant works on opening up to foreign property investors, write Eleanor Gillespie and Ben Wilkinson.

Unfavourable investment environments in nearby countries mean more business for the Amman property market, writes Jon Marks.