The IGTN recognizes that while  investment is critical to the growth of developing countries, foreign direct investment-led growth has historically hurt rather than helped developing countries. To date, FDI has been aimed at maximizing profit by exploting cheap labor and natural resources while undermining sustainable development. FDI is also linked to new forms of poverty and may have negative impacts on the social, health, and economic status of women.

In export processing zones (EPZ) across the developing world and maquiladoras in Latin America that produce textiles, footwear, and small electrical appliances, among other things, the negative impacts of FDI on women are clear. Women aged 15-25 make up the majority of workers in EPZs and maquiladoras. These women, who are often forced to work in these insecure production zones out of desperation and the need to provide basic necessities for their families, are faced with poor working conditions, little job security, and low wages, and are often threatened or mistreated if they attempt to organize into unions or stand up for their fundamental workers and human rights.  

Women, families, and communities also suffer from FDI that is linked with privatization of public services such as water, electricity, and health care, a recent trend in trade agreements with developing countries.  

IGTN supports investment that supports and strengthens the development of people and communities and opposes investment that undermines governments' ability to protect the rights of their citizens or regulate foreign investment.

The following featured articles address the link between FDI and women's economic security:

• Investment and Labor Mobility in Trade Intensification. By Marina Durano, Gigi Francisco, Naty Bernardino. IGTN Asia, December, 2005.
• NAFTA Through a Gender Lens: What "Free Trade" Pacts Mean for Women. By Alexandra Spieldoch - IGTN Secretariat. December, 2004.
• Is There a Constructive Development Role for a Multilateral Investment Agreement in the WTO? By Mariama Williams, IGTN Jamaica. March, 2003.
• Reasons and rationale for rejecting a TRIMs Plus, or multilateral investment agreement in the WTO. By Mariama Williams, IGTN Jamaica. March, 2003.
• WIDE Information Sheet: Foreign direct investment and its impact on gender relations.  By Marina Durano - IGTN Asia. July 2002.
• Investment Protection at All Costs? From NAFTA to MAI to WTO. By Marianne Hochuli, Andreas Missbach, Urs Sekinger. August, 2001.  
• Mobilizing International Resources for Development-Foreign Direct Investment and other private flows, and trade:Some preliminary remarks on gender analysis of trade and investment issues in the context of mobilizing international resources for development By Mariama Williams, IGTN Jamaica. November, 2000.

Additional articles are available in the IGTN Resource Library.