ABSTRACT

There are two important exceptions to this rule, however, and these relate

to state-owned assets (the FDI target) and state-driven investments (the FDI

source), where international political and diplomatic relations can clearly play

an important role. When the two come together in one investment project,

the matter can become highly politicised, as evidenced by the case of Dubai

Ports World we reviewed in Chapter 3, and with sovereign wealth funds and

other state-controlled investment bodies forming an increasingly important

source of much-needed investment, international politics and FDI certainly

cannot be dissociated.