Investors put off by rule of law issues in China and Australia

A Hogan Lovells survey of 301 top decision-makers has found that they are most worried by rule of law issues in China, Australia and Bangladesh, in that order.

Henner Damke

The research, conducted with The Economist and focusing on companies with global income of US$1b or more per year, found that the strength of the rule of law is the third most important decision when businesses are considering investing in foriegn jurisdictions. Nearly nine in ten respondents (88 per cent) said that a strong rule of law was either essential or very important. Some US$1 trillion is invested cross border each year. 

IP rights

China is cited as an area of concern by 10 per cent of respondents. Australia comes next on the list (with eight per cent of respondents expressing concern about it) because of a failure to recognise IP rights. Some seven per cent of respondents are concerned about Bangladesh. Source: Lawyers Weekly

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