INVESTMENT AND DEBT BUSINESS VOCABULARY IN USE (ADVANCED)

 

BUSINESS VOCABULARY IN USE (ADVANCED) 47. INVESTMENT AND DEBT

 

A Direct investment Companies can put money into investment projects in other countries in private direct investment. With free cross-border capital flows, they can repatriate their profits to their own country, or withdraw their investment altogether. There is debate about whether governments should try to limit capital inflows and outflows with capital controls or whether they should follow the global trend towards liberalization. B Borrowing The International Menetary Fund (IMF) and the World Bank play an important role in the development of less-developed countries. A main function of the World Bank is to lend money to countries so that they can obtain the conditions for economic growth. For example, it sponsors infrastructure projects – road building, water supply systems, etc. – and projects in health, education and agriculture. C Word combinations with ‘debt’ EXERCISES 47.1 Look at the expressions in A and B opposite. Put the sentences a-c in the correct order. (The first is a.) a. a ban on capital controls is a bad trade-off. b. Meanwhile, import prices soar, spurring inflation. 47.2 Now match the expressions (1-10) to their definitions (a-j). 47.3 Match the two parts of these extracts containing expressions from C opposite. 1. Under HIPC, countries have their debt 2. The arrangement with Moscow benefits the West because it involves no debt. 3, Half of Africa’s governments pay as much per person in debt. a. relief if the money saved is then spent on arms. b. restructuring plan for developing countries. c. burden cut to levels which the IMF and World Bank consider sustainable.

ANSWER KEY