Conclusion 3:

Public expenditures too dependent on foreign investments

The third major conclusion: the functioning of the Government depends to a very large extent upon foreign investments and foreign funds. During the 1944-1980 period nearly one third of the government's domestic revenues came from the concession sector.

Consequently, if the Government wants to maintain the same level of public expenditure it must continue its reliance upon foreign investors.

Besides, the produce of the concession sector, which is completely exported, partially permitted the imports of certain goods which were not produced in the country. Furthermore, the concession sector employed some 50,000 people or nearly 30% of the total labour force in the monetary economy.

This leads to the fourth major conclusion.
 

Conclusions

Lessons from Foreign Investments

home