To develop a better understanding of the mixed performance of foreign direct investment (FDI) in privatization programs worldwide, the Foreign Investment Advisory Service (FIAS) and the Canadian consulting firm, Groupe Secor, reviewed the major privatization programs in eight countries--Argentina, Ghana, Hungary, Mexico, Mozambique, Peru, the Philippines, and Poland--considered to have extensive and successful programs in their respective geographic regions. The authors tried to identify the major impediments and enabling factors deterring or attracting foreign investors in privatizations. This report attempts to isolate the fundamental principles underlying successful privatization, and to develop some best practices in structuring and managing privatization with foreign investment throughout the process. Rather than provide a detailed review of the individual programs studied, the authors use these specific country experiences to underscore their findings.
