Global Investment Recovering and Restoring Pre-Pandemic Levels

  • International
  • 10 June 2022
1

The World Investment Report revealed that foreign direct investment has recovered to pre-Coronavirus levels, achieving an increase of 64 percent compared to 2020, bringing its inflows to $1.6 trillion in 2021. Driven by momentum from M&A activity and rapid growth in international project finance, due to loose funding and major infrastructure stimulus packages.

The report showed that while all regions benefited from the recovery, three-quarters of the growth was concentrated in advanced economies, where foreign investment inflows rose by 134 percent, and multinational companies achieved record profits. The top 10 receiving FDI economies in 2021 were the United States, China, Hong Kong, Singapore, Canada, Brazil, India, South Africa, Russia and Mexico.

Flows to developing economies rose 30 percent to $837 billion, the highest level ever recorded, due to strength in Asia, partial recovery in Latin America and the Caribbean, and recovery in Africa.

Source (Al-Sharq Al-Awsat Newspaper, Edited)

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