THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Global Investment Promotion Benchmarking 2009: Implications for the Caribbean.

Slides:



Advertisements
Similar presentations
Chapter 6 Formulating Strategy
Advertisements

IMF WORLD BANK WORLD TRADE ORGANIZATION
1 The International FDI Challenge: Can West Midlands Compete? Courtney Fingar -- June 2013.
A Caribbean Perspective on Aid Effectiveness. Caribbean Community (CARICOM) consists of 15 Member States:  Antigua and Barbuda, The Bahamas, Barbados,
Facilitating New Investment in Difficult Market Circumstances
 “THE NEED TO WORK EXPEDITIOUSLY TOGETHER TO DEEPEN THE INTEGRATION PROCESS AND STRENGTHEN THE CARIBBEAN COMMUNITY IN ALL OF ITS DIMENSIONS TO RESPOND.
How to Finance Community Projects: The View from an International institution An OAS/USAID Project May 24, 2003 The case of Caribbean Small Tourism Enterprises.
Prepared for Caribbean Connect Barbados: June 28-30, 2006 Evelyn Wayne, CARICOM Secretariat F LOWS OF INVESTMENT CAPITAL FROM EXTRA-REGIONAL SOURCES.
1 FDI Confidence Index ® 2003 FDI Confidence Index ® The Global Business Policy Council Press Slides September 2003.
FDI trends and APEC performance. 2 FDI in the current market GIPB Results Implications for IPIs Learning Objectives of the Course.
Regional Symposium on Services Other Business Services : Consultancy Services.
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency What Makes a Good Facilitator? Robert Whyte Nairobi, Kenya October 2010.
Global Investment Promotion Best Practices 2012 Release of Global Results World Investment Forum, Doha, Qatar, 20 th April 2012 Robert Whyte Global Product.
ROLE OF THE NATIONAL COALITIONS IN THE DEVELOPMENT OF THE SERVICES SECTOR Michelle Hustler – Project Manager, Barbados Coalition of Service Industries.
REGIONAL INTEGRATION AND PRODUCTIVE AND INDUSTRIAL DEVELOPMENT.
“A Community of Innovative Leaders in Education” Andrea Aranguren, OAS Second World Bank Caribbean Learning Event in Portland, Maine, July 26-28, 2011.
Sunil Sinha Technical Director Emerging Market Economics December 2006
THE WORLD BANK “Global Investment Promotion Benchmarking: Implications for Practitioners” 28 March 2011 Investment Climate Dept. (CIC) World Bank Group.
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Global Investment Promotion Benchmarking 2009: Implications for ECOWAS+CEMAC Celia.
EuropeAid 1 EU Blending mechanisms Caribbean Investment Facility (CIF) Eleftherios TSIAVOS Brussels, 6 October 2011.
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Understanding Investor Decision-Making Overview of the Site Selection Process.
EEB1 Flow of Investment Capital from Intra- Regional Sources Flow of Investment Capital from Intra- Regional Sources Enid E Bissember Economic Intelligence.
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency A CHANGING FDI CONTEXT FACILITATING NEW INVESTMENT IN DIFFICULT MARKET CIRCUMSTANCES.
The Caribbean Regional Research and Education Network.
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency UNDERSTANDING INVESTOR DECISION-MAKING OVERVIEW OF THE SITE SELECTION PROCESS.
TRADE & INVESTMENT OPPORTUNITIES IN THE CARIBBEAN.
0 © 2013, Investment Consulting Associates Real estate is a strategic asset. Each and every new location decision carries cost, workforce, and other implications.
Radu Cristian Barna Regional Marketing and FDI. Why regional marketing? European unification process  competition on a single unified market Globalization.
Business Model for an Industrial development agency
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency A CHANGING FDI CONTEXT FACILITATING NEW INVESTMENT IN DIFFICULT MARKET CIRCUMSTANCES.
Trade Logistics in the Caribbean Ankur Huria Investment Climate Advisory Services World Bank Group Port-au-Prince, Haiti OCTOBER
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency “Global.
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Developing a Systematic Approach to Dealing with Investor Inquiries Kathy Khuu.
RELEVANCE OF INTERNATIONAL STUDENT MOBILITY TO WORK AND EMPLOYMENT COMPARISON OF FINFINGS IN BRAZIL, CHILE, SLOVENIA AND FINLAND Dr. Valeska V. Geldres.
Multimedia Design Report 2012 A cost/quality comparison (Based on information from the Financial Times fDi Benchmark tool.)
PRESENTATION TO THE CARIBBEAN ASSOCIATION OF INDIGENOUS BANKS Georgetown Guyana November 12 – 15, 2007.
PRONicaragua: Investment Facilitation Thursday, May 2 nd, 2013 Istanbul, Turkey.
"Actual experiences of the gender dimensions of poverty measurement in the Caribbean: A technical perspective”
The U.S. President’s Emergency Plan for AIDS Relief (PEPFAR) “The Role of PEPFAR in the Caribbean Region” William Conn, PEPFAR Coordinator PANCAP 15 th.
1 WIPO’s Cooperation for Development Activities in the Caribbean Region WIPO’s Cooperation for Development Activities in the Caribbean Region Geneva May.
FUNDING OPPORTUNITIES. Caribbean Export Development Agency (Caribbean Export) provides direct financial assistance through its Direct Assistance Scheme.
CENTRE FOR THE DEVELOPMENT OF ENTERPRISE CARIBBEAN REGIONAL FIELD OFFICE CARIBBEAN REGION WORK PROGRAMME.
Colombia’s Cooperation Strategy with the Caribbean Basin Partners 25 Colombia Caribbean Countries Antigua and Barbuda, Bahamas, Barbados, Belize, Costa.
Epidemiology of TB and HIV/AIDS in the Caribbean Module 1 – March 2010.
Facilitating FDI into Europe and Central Asia World Bank Group's Investment Climate Department Istanbul May 2 nd, 2013 Tuomo Airaksinen.
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Global Investment Promotion Benchmarking 2009: Implications for Eastern & Southern.
Global Investment Promotion Best Practices (GIPB 2012) Robert Whyte Global Specialist, Investment Promotion Investment Climate Department, World Bank Group.
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Understanding Investor Decision-Making: Overview of the Site Selection Process.
According to McKinsey & Company, 2007, “How the Best Performing School Systems in the World Come out on Top”:
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Developing a Systematic Approach to Dealing with Investor Inquiries Celia Ortega.
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Developing a Systematic Approach to Dealing with Investor Inquiries Amaya Manrique.
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Handling Investor Inquiries The importance of offering a professional service.
THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Developing a Systematic Approach to Dealing with Investor Inquiries Kathy Khuu.
Sub-Regional Workshop for GEF Focal Points in the Caribbean Bridgetown, Barbados, June 2009 RAF Allocations Update (Report on the Implementation.
Enhancing Skills in the Eastern Caribbean Cynthia Hobbs, Sr. Education Specialist World Bank, November 2007.
Name: Stanley Phillips Title: Customs Management Trainer Coordinator Company Name: Caribbean Customs Law Enforcement Council (CCLEC)
“A Community of Innovative Leaders in Education” V Regular Meeting of the Inter-American Committee on Education (CIE) November 2010 Guayaquil, Ecuador.
MEDEF MEETING March 7, 2012 A.T. Shaukat Chief Engineer Global Infrastructure & Natural Resources.
Sociology Poverty and Development. MDG The Millennium Development Goals (MDGs) are the eight international development goals that were established following.
The Caribbean’s Regional Research and Education Network Presented by Eriko Porto On behalf of Ken Sylvester, CEO of CKLN.
XXXX OBJECTIVES OBJECTIVES OF CARICOM CSME OECSQUIZ INTRODUCTIO N Social Studies | Module 4 |Regional Integration MODULE 4  UNIT #  LESSON 7 OBJECTIVESOF.
. BOARD OF DIRECTORS REPORT 2010 CONNECT, COMPLY, COMPETE: The Credit Union Heartbeat.
Management Mustangs Strategic Brand Management Module - 5.
Software Development Center California Scotland Benchmark Report 2016
Food Security Caribbean.
CGBU COIMBRA GROUP OF BRAZILIAN UNIVERSITIES
Protected Areas Thematic Network
Dr Ahmad A Khan Director BCRC-Caribbean May 3rd, 2013.
CARIBBEAN COMMUNITY (CARICOM)
Presentation transcript:

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Global Investment Promotion Benchmarking 2009: Implications for the Caribbean Celia Ortega October 2010

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency 2 What is GIPB? Caribbean Results Global Results Implications for IPIs

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency What is GIPB? What does GIPB measure? How does your country’s promotional effort rank versus competitors? How competitive is your country in promoting foreign investment? Is your country achieving its potential to attract investment? What does GIPB NOT measure? Countries’ overall FDI competitiveness Countries’ business climates IPIs’ effectiveness in other functions 3 Overall performance (out of 100%)

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency GIPB Mirrors Companies’ Site Selection Process Stepping in the shoes of two companies (manufacturing and software) a site location consultant assessed:  IPI Websites-- The extent to which IPIs offer country and sector information suitable to assist potential investors in their location search.  Inquiry handling -- A mystery shopper approach tested each IPI’s ability to interact with and manage two distinct investment inquiries, provide relevant information and make a business case for investment. A recent survey of 3,600 US large companies ($25m+) conducted by DCI Consulting reveals that: 64% of respondents would use the IPI website in their next location search. Only 8% of respondents say they would not contact the IPI during the investment decision process Site location consultants are more likely to use the IPI services for information in the screening process. A recent survey of 3,600 US large companies ($25m+) conducted by DCI Consulting reveals that: 64% of respondents would use the IPI website in their next location search. Only 8% of respondents say they would not contact the IPI during the investment decision process Site location consultants are more likely to use the IPI services for information in the screening process. 4

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Why IPIs Should Bridge the Corporate Information Gap? Information markets do not work perfectly. As a result, companies often limit options to those locations they are familiar with. >>> IPIs’ effective marketing can encourage companies to look at new countries and open new opportunities. Current financial instability may make companies more cautious about their medium-term foreign expansions. >>>Making investment-relevant information easily available lessens investors’ risk perceptions. Provision of relevant, accurate and up-to-date information diminishes companies’ transaction costs during the site selection process. >>>Thereby making destinations more competitive. 5

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency 6 What is GIPB? Caribbean Results Global Results Implications for IPIs

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency GIPB 2009: Global Top 25 Performers OECD countries still dominate the top of the Investment Promotion Intermediary (IPI) performance league table, but their dominance is now being challenged by some IPIs in Latin America and Eastern Europe. 7

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency IPIs have mastered the basics but fail to deliver what investors need Good news… Virtually every country has an agency mandated to promote FDI and facilitate investors’ entry. Good news… You can find virtually every IPI online and contact them. Not so Good News… IPIs do not consider important, or don’t have the skills to develop the kind of information that investors need. 8 Regional performance in each GIPB assessment category (Scores for each category calculated over 100%)

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Trends IPIs have improved since 2006 but this is down to the ‘shop window’- the websites. There is no real change in the investor assistance on the’ shop floor’- improvements in inquiry handling have been moderate at best and in most cases the levels of service remain very low. Improvements are recorded for most regions. However, in the Caribbean (and Sub-Saharan Africa) it seems that investors can expect less help from the IPIs to navigate the system. Regional comparison between 2006 and

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Major Improvers since 2006 Out of the top 25 improvers, 9 have been our clients over the last three years, and 1 is in the Caribbean. 10

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Website Assessment IPI websites were assessed against 4 key dimensions Almost all regions had at least one IPI in the Top 25, yet a substantial performance gap remains between OECD and other regions. This gap is most striking with respect to the country and sector information offered in websites. Since 2006, there has been a worldwide improvement of 22%. IPIs seem to understand the importance of promoting online. However IPIs don’t maximize their web site investment… 11

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Investor Inquiry Handling Inquiry handling capability was assessed against 4 key dimensions: World performance was weak. OECD IPIs achieved an average score of 53%. Most regions suffered a decline in inquiry handling scores since Some best performers: Austria in the OECD with 85% Brazil in Latin America and the Caribbean with 83% Turkey in Europe and Central Asia with 77% 12 Most IPIs struggle to respond to investors’ information needs, and ‘win’ projects. This means that IPIs cannot provide companies with the basic data they need to make an informed location decision. IPIs are unable to influence the decision in their favor. Most IPIs struggle to respond to investors’ information needs, and ‘win’ projects. This means that IPIs cannot provide companies with the basic data they need to make an informed location decision. IPIs are unable to influence the decision in their favor.

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Conclusion: Countries Are Missing Investment Projects and Jobs When foreign companies knock on the door, IPIs often do not respond… 13 36%

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency 14 What is GIPB? Caribbean Results Global Results Implications for IPIs

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Caribbean spread of performance (by tier) - Jamaica Dominica Grenada St. Lucia St. Vincent and the Grenadines Trinidad and Tobago Antigua and Barbuda Bahamas St. Kitts and Nevis Dominican Republic* Haiti Suriname 15 BEST PRACTICE: % GOOD: 61-80% AVERAGE: 41-60% WEAK: 21-40% VERY WEAK: 0-20%

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Top Caribbean Performers 16 Approaching global competitiveness Jamaica rated “good” Focus trumps resources Dominica did well with only 12 staff Consistency is a weakness. If both inquiry responses had been strong, Jamaica could have been “best practice” Grenada could have been “good” Fundamentals still lacking among others AverageGood

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Website Assessment As a group, the Caribbean was very near best practice in terms of Design (76%) and Information Architecture (72%) Content was weakest with an average of 32% 4 country scores within the very weak range, including 1 with no website 4 countries achieved “best practice” (Jamaica) or “good” (St. Vincent and the Grenadines, Trinidad and Tobago, Grenada) 17

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Investor Inquiry Handling: Response  Out of 12 IPIs surveyed:  7 IPIs did NOT respond to investors’ manufacturing inquiry  5 did not respond to the software inquiry  St. Lucia had the highest average response at 74%, very close to “best practice” level  St. Kitts and Nevis was the only other to average a “good” response to the two inquiries  Every IPI failed to follow up with investors in at least one of the two cases. 4 IPIs failed in both cases, earning a 0% for customer care. 18

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency 19 What is GIPB? Caribbean Results Global Results Implications for IPIs

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency 20 Get the Basics Right …… Facilitation, Facilitation, Facilitation  IPIs underestimate what’s needed  Without proper Facilitation no investment promotion effort will pay off  The smaller the IPI budget the more sense Facilitation makes  Focus on the basics: Walk before you run  Countries where doing business is more challenging  Bigger role for the IPI to inform and facilitate foreign investors  Lesser known countries  Bridge the information gap through the work of the IPI to attract investment  The Web allows all IPIs to promote cost-effectively

THE WORLD BANK World Bank Group Multilateral Investment Guarantee Agency Thank you. Questions