InvestmentClimateAdvisoryServicesIWorldBankGroupInpartnershipwithIndicatorsofforeigndirectinvestmentregulationin87economiesInvestmentClimateAdvisoryServicesIWorldBankGroupIndicatorsofforeigndirectinvestmentregulationin87economiesInvestingAcrossBorders2010AfghanistanAlbaniaAngolaArgentinaArmeniaAustriaAzerbaijanBangladeshBelarusBoliviaBosniaandHerzegovinaBrazilBulgariaBurkinaFasoCambodiaCameroonCanadaChileChinaColombiaCostaRicaCôted’IvoireCroatiaCzechRepublicEcuadorEgypt,ArabRep.EthiopiaFranceGeorgiaGhanaGreeceGuatemalaHaitiHondurasIndiaIndonesiaIrelandJapanKazakhstanKenyaKorea,Rep.KosovoKyrgyzRepublicLiberiaMacedonia,FYRMadagascarMalaysiaMaliMauritiusMexicoMoldovaMontenegroMoroccoMozambiqueNicaraguaNigeriaPakistanPapuaNewGuineaPeruPhilippinesPolandRomaniaRussianFederationRwandaSaudiArabiaSenegalSerbiaSierraLeoneSingaporeSlovakRepublicSolomonIslandsSouthAfricaSpainSriLankaSudanTanzaniaThailandTunisiaTurkeyUgandaUkraineUnitedKingdomUnitedStatesVenezuela,RBVietnamYemen,Rep.Zambia©2010TheWorldBankGroup1818HStreetNWWashington,D.C.20433Telephone202-473-1000Internet@worldbank.orgAllrightsreservedThisreportisaproductofWorldBankGroupstaff.Thefindings,interpretations,andconclusionsexpressedinthisvolumedonotnecessarilyreflecttheviewsoftheExecutiveDirectorsoftheWorldBankorthegovernmentstheyrepresent.TheWorldBankGroupdoesnotguaranteetheaccuracyofthedataincludedinthiswork.RightsandPermissionsThematerialinthispublicationiscopyrighted.Copyingand/ortransmittingportionsorallofthisworkwithoutpermissionmaybeaviolationofapplicablelaw.TheWorldBankGroupencouragesdisseminationofitsworkandwillnormallygrantpermissiontoreproduceportionsoftheworkpromptly.Forpermissiontophotocopyorreprintanypartofthiswork,pleasesendarequestwithcompleteinformationtotheCopyrightClearanceCenterInc.,222RosewoodDrive,Danvers,MA01923,USA;telephone:978-750-8400;fax:978-750-4470;Internet:ficeofthePublisher,TheWorldBank,1818HStreetNW,Washington,DC20433,USA;fax:202-522-2422;e-mail:pubrights@worldbank.org.AbouttheInvestmentClimateDepartmentoftheWorldBankGroupInvestingAcrossBorders2010isaninitiativeoftheInvestmentClimateDepartmentoftheWorldBankGroupwithfundingfromtheFederalMinistryofFinanceofAustriaandfromFIAS,themulti-donorinvestmentclimateplatformoftheWorldBankGroup.TheInvestmentClimateDepartment,workingwithotherunitsoftheInternationalFinanceCorporation(IFC)andtheWorldBank,advisesgovernmentsonreformstoimprovetheirbusinessenvironmentsandencourageandretaininvestment,thusfosteringcompetitivemarkets,growthandjobcreation.iiiCONTENTSContentsForeword...................................................................vIntroduction.................................................................1Overview..................................................................7Summarydatatable.......................................................18Topics....................................................................21InvestingAcrossSectors.....................................................22StartingaForeignBusiness...................................................29AccessingIndustrialLand....................................................40ArbitratingCommercialDisputes...............................................54Methodology...............................................................67Bibliography................................................................77ProfilesofEconomies..........................................................81Acknowledgments...........................................................169ProjectContributors..........................................................171AbbreviationsandGlossary....................................................187ivINVESTINGACROSSBORDERS2010Thispageintentionallyleftblank.vFOREWORDForewordTheglobalfinancialcrisisandsubsequenteconomicdownturnledin2008-2009torapidandsignificantcontractionininternationaltradeandinvestment.Butthefirsthalfof2010hasseenagradual—thoughcautious—upswinginglobalconsumerdemand,investorconfidence,andeconomicactivity.Theresurgenceofinternationalcommerceandinvestmentiscreatingnewopportunitiesforcompaniesandcountriesalike.Thefactorsdrivinginvestmentdecisionsbymultinationalcorporationsarechanging.Whenseekingbusinessopportunities,companiesarenowmoreconcernedaboutfinancialandpoliticalrisks,withafocusonstableandpredictablebusinessenvironments.Inresponse,governmentseverywhererecognizethattheirchancesofattractingmoreforeigninvestmentdependonmakingtheirinvestmentclimatesmorecompetitive.TheInvestingAcrossBorders2010reportandonlinedatabase()offercompaniesandgovernmentsindicatorsmeasuringhowcountriesaroundtheworldfacilitatemarketaccessandoperationsofforeigncompanies.Foreachofthe87countriessurveyed,thereportidentifiessectorswithrestrictedentryforforeigninvestors,definesroadmapsforcompaniesseekingtocreateforeignsubsidiariesandacquirerealestate,