Abstract

The article reviews some recent developments with respect to the growing importance of transnational corporations (TNCs) from the South and their overseas expansion. The current situation differs from that of the 1970s and 1980s. The scale of the phenomenon is much larger, the geographical composition of flows and stocks is different as are the drivers and determinants. Drawing primarily on UNCTAD’s work in this field, the article presents new data to shed light on the nature and scope of the phenomenon, it examines some salient features of the recent surge of foreign direct investment (FDI) by TNCs from the South and considers policy implications for governments in developing as well as developed countries. The paper ends by underlining the need for more dialogue both among developing countries and between developed and developing countries to harness the opportunities created by the rise of FDI from the South.