Looking a gift horse in the mouth: Heightened scrutiny of foreign direct investment

In this article published in the CPI Antitrust Chronicle, Rachel Brandenburger and Christopher Hutton discuss foreign direct investment.

Although levels of foreign direct investment fell in 2017, they remain strong. At the same time, the scrutiny of foreign investments has increased. Enhanced scrutiny will inevitably be a factor for investors planning cross-border deals. Investors will need to be prepared, particularly when navigating multiple regimes. At the same time, governments have to steer a course between scrutinizing foreign investment, and making sure that scrutiny does not create an overly hostile environment for inward investment. It is in the interests of both governments and investors to seek to ensure that investment flows continue and, as a result, that foreign direct investment reviews are efficient and effective.

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