33. The difficulty of acguiring the technology needed for the developnent of energy resources poses another serious constraint. The international patent system and the restrictive business practices of enterprises from the deveJ-oped countrieson licensing technologies for use in developing countries have hampered energy developnent. 34. There are other types of constraints as well. The perception of political risk is considered a serious impediment for private sector foreign investors,especially for smaller companies, the "independents", whieh have less scope fordiversifying the perceived risks anong countrLes. 3U Furthernore, it is estimatedthat over 70 per cent of the fields likelv to be discovered in developing countries would be of a smaller size - that is, traving less than 50 million barrels of oil reserves or less than 3 to 5 trillion cubic feet of gas - and it is said that the major oil companies, whicb undertake the largest portion of private sectorexploration in developing countries, have no serious interest in fields of thissize. W The smaller companies which would be interested are deterred, not only by the perceived political risk, but also by the relatively large front-end capital needed for ventures far away from tbeir hone base. Finally, government policies on acreaqe leasing and on the fiscal terms of petroleum contracts have been mentioned as deterrents to private foreign companies interested in undertaking exploration in developing countri es. 36_/A/40/sLL English Page 13 IV. NATIONAL AND INTERNATIONAL POLICIES 35. The world economic and energy situations have changed signifieantty in thelast few years. The growth of the developing countries has slowed considerablyduring the period 1981-1984, but the prospect seems to be for some resunption intheir growth performance in the next few years. !/ Reflecting the interactions ofthe denard and supply factors, the world oil price tras been decreasing in both
**Analysis**
The text discusses the challenges faced by developing countries in developing their energy resources, citing constraints such as lack of technology, patent restrictions, and political risk. It also highlights the limitations of private sector foreign investors, including the reluctance of large companies to explore smaller fields and the deterrence of smaller companies due to perceived risk and high capital requirements. The text does not touch on other areas such as agriculture, forestry, fishing, health, education, employment, humanitarian aid, culture, or science and technology. It seems to be primarily focused on the economic and energy aspects, but also has an international dimension.

**Category**
Economic development, Natural resources and environment