Domestic savings are a major resource for developing countries. In 2003, they were estimated to equal $2.5 trillion. This dwarfs global ODA, which in 2003 totaled $70 billion. Foreign direct investment, which totaled $152 billion in 2003, also exceeds ODA, as do workers’ remittances, valued at $116 billion. Developing countries must adopt policies that encourage domestic savings to remain in their home countries to contribute to growth and development and that encourage foreign investment.[1]
Notes
- ↑ The U.S. Approach to International Development, Bureau of Public Affairs, Washington DC, September 12, 2005, (public domain).