The MINT developing economies (Mexico, Indonesia, Nigeria and Turkey) possess promising aspects for investors and have been heralded and criticised in equal measure with the countries themselves at various stages of a transition into the global economy.
Mexico is hoping to attract foreign investors and so is looking to improve competitiveness through regulation. The challenge is in the labour market which requires greater flexibility to balance out vested interest.
The Indonesian economy has picked up over the last few months powered by exports growing 10% year on year. The government has sought to protect local producers from foreign competition but this policy of protectionism may hamper growth in the future and limit economic integration on a wider scale.
Moving on to Nigeria, the negatives appear obvious with the recent actions and inactions of Boko Haram and the government respectively presenting a reminder of the tensions and lawlessness in parts of the region. There are aspects of the economy which make it attractive such as an abundance of land and minerals as well as cheap labour. However, this is countered by an unstructured labour market with no real regulation.
Turkey, recently in the spotlight as the scene of the Soma mining disaster, has had to confront questions over health and safety following the country’s worst industrial disaster. The government has also faced criticism for links to the mining company and for failing to enforce safety regulations. In terms of the economy, the government is balancing the need for growth and greater integration whilst preserving the Islamic integrity of Turkey. DP