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Book Description: Brazil is on the verge of becoming one of the leading recipients of foreign direct investment (FDI) in Latin America and the world. Major economic reforms and large scale privatisations have enhanced Brazil's attractiveness as the largest Latin American market and as a key player in Mercosur. This trend should pick up speed in the coming years with further liberalisation, the restructuring of the Brazilian economy and the pursuance of economic integration. There is every reason to commend the policies adopted by the Government of Brazil to eliminate discriminatory treatment towards foreign investors and their investments, protect their tangible and intangible assets and provide for the resolution of investment disputes. The study highlights, however, some lingering areas of concern, notably with respect to access to the banking system, goverment discretionary action and existing market distortions. The adherence to OECD liberalisation principles should nevertheless consolidate and confort the reform process in Brazil while providing a favorable framework for the expansion of FDI relations between Brazil and OECD countries.

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