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The Politics of Investment and Growth in Egypt: Experimenting with a New Approach
Author(s) -
AbdelLatif Abla,
Schmitz Hubert
Publication year - 2011
Publication title -
development policy review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.671
H-Index - 61
eISSN - 1467-7679
pISSN - 0950-6764
DOI - 10.1111/j.1467-7679.2011.00541.x
Subject(s) - investment (military) , politics , context (archaeology) , public investment , private sector , investment policy , business , economic policy , economics , economic system , economic growth , political science , foreign direct investment , macroeconomics , geography , archaeology , law , european union
‘Improve the investment climate!’ is the dominant advice for governments wishing to achieve substantial increases in productive private investment. However, national‐level investment‐climate approaches have been criticised for not paying adequate attention to context and feasibility. This article experiments with a new approach which focuses on sectors and on relationships between policy‐makers and investors, and shows how their common interest helped to overcome obstacles to investment and growth in Egypt. Such public‐private relationships can be abused but they have provided effective transitional arrangements for enhancing investment and inducing a new growth dynamic.