Keyword

Foreign Direct Investment (FDIs), Impact, SMMEs, Infrastructure, Skills development

Abstract

There has been a longstanding debate on whether foreign direct investment (FDI) benefits developing countries, particularly those that are small and poor with a limited market size. The paper explores this issue in Swaziland, a country that has attracted a great deal of FDI in the past, but is still struggling economically to grow. The benefits of FDI to Swaziland have been mixed, but research has not explored the less obvious drawbacks, as it is normally assumed that FDI is beneficial. The paper concludes that it is not FDI that is the problem, but rather how it is managed and balanced with the needs of the indigenous firms.


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