Foreign direct investments in 2013 to make $1.45 trillion: Unctad report
11.07.2013,
16:56
YEREVAN, July 11, /ARKA/. Global foreign direct investment -- or investment of foreign assets into domestic structures, equipment, and organizations -- fell by 18 percent last year to $1.35 trillion, according to the latest annual report by the U.N. Conference on Trade and Development’s (UNCTAD). It says developing countries, for the first time ever, received the majority of investment.
YEREVAN, July 11, /ARKA/. Global foreign direct investment -- or investment of foreign assets into domestic structures, equipment, and organizations -- fell by 18 percent last year to $1.35 trillion, according to the latest annual report by the U.N. Conference on Trade and Development’s (UNCTAD). It says developing countries, for the first time ever, received the majority of investment.
UNCTAD’s annual survey of investment trends finds global Foreign Direct Investment, or FDI, declined in 2012 to below the pre-economic crisis level. It attributes this mainly to economic fragility and policy uncertainty for investors. The report says developing countries took the lead in attracting foreign direct investment in 2012. For the first time ever, it says developing economies did better than developed countries, accounting for 52 percent of global FDI flows.
The report says FDI inflows to least developed countries rose by 20 percent in 2012 to a record $26 billion. The report says FDI flows to African countries increased by five percent to $50 billion in 2012, mainly due to investment in extractive industries. While natural resources are still the mainstay of FDI flows to Africa, the report notes consumer-oriented manufacturing and services are attracting more investments.
Developing economies in Asia remain the largest source of direct foreign investment, accounting for three-quarters of the developing country total. According to the U.N. report, the top investor is China, which has moved up from sixth to third place, after the United States and Japan.
U.N. economists forecast 2013 FDI levels will remain close to 2012 levels of $1.45 trillion. But, they say as macroeconomic conditions improve FDI flows may climb to $1.6 trillion in 2014 and $1.8 trillion in 2018.
Established in 1964, UNCTAD promotes the development-friendly integration of developing countries into the world economy. UNCTAD has progressively evolved into an authoritative knowledge-based institution whose work aims to help shape current policy debates and thinking on development, with a particular focus on ensuring that domestic policies and international action are mutually supportive in bringing about sustainable development. -0-
UNCTAD’s annual survey of investment trends finds global Foreign Direct Investment, or FDI, declined in 2012 to below the pre-economic crisis level. It attributes this mainly to economic fragility and policy uncertainty for investors. The report says developing countries took the lead in attracting foreign direct investment in 2012. For the first time ever, it says developing economies did better than developed countries, accounting for 52 percent of global FDI flows.
The report says FDI inflows to least developed countries rose by 20 percent in 2012 to a record $26 billion. The report says FDI flows to African countries increased by five percent to $50 billion in 2012, mainly due to investment in extractive industries. While natural resources are still the mainstay of FDI flows to Africa, the report notes consumer-oriented manufacturing and services are attracting more investments.
Developing economies in Asia remain the largest source of direct foreign investment, accounting for three-quarters of the developing country total. According to the U.N. report, the top investor is China, which has moved up from sixth to third place, after the United States and Japan.
U.N. economists forecast 2013 FDI levels will remain close to 2012 levels of $1.45 trillion. But, they say as macroeconomic conditions improve FDI flows may climb to $1.6 trillion in 2014 and $1.8 trillion in 2018.
Established in 1964, UNCTAD promotes the development-friendly integration of developing countries into the world economy. UNCTAD has progressively evolved into an authoritative knowledge-based institution whose work aims to help shape current policy debates and thinking on development, with a particular focus on ensuring that domestic policies and international action are mutually supportive in bringing about sustainable development. -0-
