Impact of liberalisation of trade and investment policy on globalisation
Answers
Liberalisation of economies across the world has been brought about by breaking down trade barriers and this has helped in trade and investment grow by leaps and bounds; these measures have pushed the globalisation process in several or most economies across the world. Detailed below are some measures that have been taken by countries to push their development agenda as a part of globalising their economies.
1) Restricted list of items for import and export reduced.
2) Import duties reduced.
3) Measures taken to ease flow of foreign capital into the country.
4) Entry by foreign companies to set up base eased and encouraged.
5) Level of foreign shareholding in local Companies raised by suitable policy measures.
6) Local Companies encouraged to set up base overseas.
7) Foreign direct investment and foreign funds encouraged to flow in.
8) Restrictive foreign exchange rules relaxed by Central Banks in host countries.
9) Norms for repatriation of profit and capital to and from overseas country eased.