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Showing posts with the label “foreign investment”

Syria: How to Kill an Economy Without Firing a Shot

Salaam wants the state to play a key role in development through public investment. Yet, in the case of Syria, she should have explained where would the capital for investment come from: IMF and debt, loan conditions, China, expropriation…? “Advocates of economic liberalism argue that free trade promotes competition, efficiency, and growth. However, this argument often ignores a basic reality: countries do not compete under equal conditions. Producers operate with vastly different levels of infrastructure, access to finance, technology, energy costs, institutional efficiency, and government support. What may appear as free competition is often competition between unequal economies.” Syria's economic liberalisation trap

Syria: Austerity and Liberalism

“In its bid to attract foreign investment, the government has embraced a  neoliberal model  of economic liberalisation, sharp austerity and a shrinking public sector. These measures have been accompanied by policies and decisions that reinforce the concentration of economic power among the new ruling elite, while the vast majority of Syrians continue to live  in poverty . “So far, the majority of these investments have been in tourism, real estate and financial services, reflecting a focus on short-term profits at the expense of productive sectors such as manufacturing and agriculture.”