Latest foreign direct investment trends across the globe

fDi Magazine, the Financial Times Ltd. division analysis on FDI investments, presented the Annual overview about Greenfield investments of the previous year. “Greenfield” is a form of foreign direct investment where a company starts a new business in a foreign country by constructing new operational facilities from the ground up. From the analysis on Greenfield investments, that have a great and tangible impact on economic development, it is possible to indicate the country’s competitiveness. (source Investopedia)

The report presents that despite the general and global background, which shows a diffused skepticism into the market, Greenfield FDI continued the tentative recovery phase. The bullish trend is confirmed by a +9% in capital investments even if the total number of projects declined 7%.

Report highlights:

  • The principal destination region for FDI in 2015 remained Asia-Pacific region with a 45% of all capital investment globally in 2015
  • India, one of the most important countries for FDI, with the highest investment value by capital in 2015 ($63 Billion announced) has overcome China (-23% in capital investment )
  • Africa has registered a 6% increase of FDI projects

European most relevant trends:

  • FDI into Europe by project numbers fell by nearly 9% in 2015. Despite Europe declining as a source of FDI projects, capital investment from the region increased 7% to $258.5bn
  • Turkey gained momentum in 2015 with project numbers rising 47% to 147 and capital investment reaching $5.8bn
  • UK and Ireland both witnessed increases in FDI, with project numbers rising 3% and 4%, respectively
  • Companies from the UK, Germany and France collectively account for more than 50% of FDI projects from the region
  • The number of recorded projects in France and Spain continued to decline in 2015, falling 1% and 19%, respectively. However, the amount of capital invested in the countries has increased by a respective 24% and 13%

 

Discover more about fDi Report 2016: fDi Report 2016

 

Source: fDi Magazine, Financial Times Ltd.

 

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