Sector-Specific IPP Thursday Session 4

Transcription

1 INVESTMENT POLICY AND PROMOTION WEEK Sector-Specific IPP Thursday Session 4 Vienna October 15, 2015

2 OUTLINE 1. Importance of Focusing on Sectors IPP Tools for Sector Analysis: 2. IPP Investor Road Map 3. Investor Outreach Toolkits

3 1. IPP Investment Reform Map: A framework to organize reform priorities and empower reform champions A logical framework to: Help focus the government's discussion on relevant investment policy and promotion issues; Help the government set priorities for reform that reflect the country's needs; and Help translate the country's investment vision into an agenda for concrete actions in the short (quick wins), medium and long terms.

4 The Investment Reform Map process Step 1: Preliminary Analysis WBG produces a preliminary analysis document Applies the investment lifecycle and investment typology Provides an overview of the current FDI picture in the country Highlights areas of potential growth / benefits Sets out options for attracting/retaining/enhan cing FDI impact through reforms Relevant best practices and case studies Step 2: Discussions with Clients High level discussion between WBG and government Consultation and Workshop with government staff to delve into more detail Consider Preliminary Analysis to answer key questions: What kind of FDI does the country have now? What kind of FDI does the country want in the future? What reforms are needed to make that happen? Step 3: Investment Reform Memo Based on the inputs of the preliminary discussion and workshops, jointly develop an action plan identifying: Priority areas for reform Clarification of actions to be taken by different agencies Concrete next steps Outcomes and targets for measurable impacts 4 Full IRM Process: Typically 6 9 months to complete. but partial IRMs less time

5 Key Questions to Guide the IRM Process 1. FDI Facts: Does the country receive enough FDI? Quantity sub-sectors, countries of origin, trends over time, who are the main competitors? Quality - typology, type of jobs/number of jobs generated, transfer of technology, access to markets? 2. What type of investment does the country want to receive? What are the country s strategic objectives? o Usually job creation / improving quality of jobs, and economic diversification What is possible/appropriate for the country? o e.g. efficiency-seeking? 3. What are the conditions to attract, retain, and expand the type of FDI the country is looking for? How competitive is the country? What kind of trade framework / market access arrangements does the country currently have? What is the regulatory framework, including for key sectors? 4. How does the country translate that vision into a concrete action plan for reform? Investment Reform Memo (short term, entry, protection, incentives) Investment Policy Strategy (longer term) 5

6 Reform action plan example Reform area 1 Milestones Lead agencies Reform Investment Law Develop a plan for reform of the Law Develop policy and draft Law and implementing regulations to it Revise Law through enactment process Ministry of Reform area 2 Milestones Lead agencies Introduce mechanisms to address investor concerns and grievances Assess feasibility for an investor grievance mechanism Implement investor grievance mechanism (tracking and monitoring, or Mechanism for Investor Retention and Confidence) 2. Ministry of Justice 1. To be determined. It could be a newly established Ombudsman s office for investor grievances or another agency designated by the Government Expected timeline April- August 2015 April- December 2015 January- March Expected timeline January - August September - October 2017 Reform area 3 Milestones Lead agencies Develop an FDI attraction and retention strategy (sectors) and delivery framework Develop an FDI attraction and retention strategy identify sectors for FDI, sector plans Develop an explicit annual investment promotion implementation plan Develop specific investment promotion functions Review and assess existing fiscal and non-fiscal incentives Develop sectorfocused incentives to support the attraction of efficiency-seeking FDI 2. IPA 3. Other ministries responsible for FDI-related topics Expected timeline 2015-Dec Dec Aug. - Oct

7 INVESTMENT POLICY AND PROMOTION WEEK THANK YOU