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Date: 2024-08-16 Page is: DBtxt001.php txt00001696

TVM ... Practical notes
Economic Activity

Investment and technical support best coming from different sources.

I advocate for investment and technical support to come from different sources since the goals are different.

If you are going to advocate for the beneficiaries in socio-economic development, then it is logical to advocate also for investment and technical support to come from different sources.

In my experience an investor or financier is going to have the goal of having a successful investment ... in other words getting the results that are anticipated. If things go wrong, the financier is going to do what is best to 'safeguard' the investment, whatever that might be.
In general the technical support needs to be based on the gap there is between local knowledge and what is needed to support the activity. The dynamic of this is likely to be very different from the profile of the investor, financier and much more in tune with the benefit flow into the community. An initiative with technical issues may need more technical assistance support, which may not be consistent with an investor goal of minimizing exposure, for example, but it would be critical for benefit flows.

This is different from the widespread strategy in many industries like oil and gas for example. This is good for the integrated international companies because they maintain control of the technology and the system, but at the expense of local interests.


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