Private firms and investors pumped record levels of capital funds into developing countries last year but most of the money failed to reach the poorest nations, the World Bank said yesterday. Net capital flows into developing countries reached $491 billion in 2005. However most were bound for a small group of middle income countries, especially Russia and Turkey. Flows into Sub-Saharan Africa remained relatively low at $28.4 billion, although that marked an annual gain of 37.2%.
The São Paulo Stock Exchange (Bovespa) recorded a 148.4 million reais net foreign capital outflow on Friday May 26, according to the latest data from the bourse. From the start of May up until May 26 there was a 1.7 billion reais net outflow, compared to a 1.5 billion reais net inflow to the Bovespa since the start of the year.
Brazilian construction firms Camargo Corrêa, Andrade Gutierrez and Odebrecht are looking to expand their international operations particularly in Latin America and Africa. Camargo Corrê plans to increase its international portfolio from today’s $0.8 billion to $1.3 billion by 2010, and is prioritizing growth in Bolivia, Colombia and Venezuela. "Despite the political tensions, there is a huge demand for works in these countries," said Camargo Corrêa's international projects director Carlos Fernando Namur.
Guido Podesta, member of the European parliament and head of the parliamentary delegation for EU-Romania relations, said that the avian influenza is an “emergency” which, unless resolved, might lead to Romania’s accession to EU being postponed. Podesta said that stricter control is required at local level, as this is where the disease is incubated and spread.
Egyptian Planning Minister Othman Mohamed Othman announced that the government has allocated $270 million to modernize the country’s rural areas. The UNDP has also given financial assistance of $180 million.