본문 내용으로 건더뛰기

KDI 경제교육·정보센터

ENG
  • 경제배움
  • Economic

    Information

    and Education

    Center

한국관련자료
Disentangling fiscal investment incentives for increased efficiency: Parameters for consideration
UNESCAP
2026.05.04
This policy brief examines the effectiveness of fiscal investment incentives in attracting and shaping foreign direct investment (FDI) in the Asia-Pacific region. It argues that widely used, generic incentive schemes often fail to deliver meaningful economic or developmental outcomes, particularly for the majority of “ordinary” investment projects outside large-scale, high-profile deals. The brief emphasizes the need for more targeted and context-specific incentive frameworks that account for sectoral differences, investor profiles, and project lifecycles. It also highlights the growing importance of non-fiscal factors such as business environment quality, skilled workforce availability, and institutional support in influencing investment decisions. The paper concludes with four policy recommendations: designing targeted and sector-specific incentives; ensuring clarity and transparency in incentive frameworks; aligning with best practices while monitoring competitiveness and adjusting accordingly; and building comprehensive investor support services beyond fiscal measures alone.