Trends in Global Foreign Direct Investment


Flow of Foreign Direct Investment has grown faster over recent past. Higher flow of Foreign Direct Investment over the world always reflect a better economic environment in the presence of economic reforms and investment-oriented policies.

Global flow of foreign direct investment reached at a record level of $ 1,306 billions in the year 2006. Increase in FDI was largely fuelled by cross boarder mergers and acquisitions (M&As). FDI in 2006 increased by 38% than the previous year.

Foreign Direct Investment (FDI)


Foreign Direct Investment, or FDI, is a measure of foreign ownership of domestic productive assets such as factories, land and organizations. Foreign direct investments have become the major economic driver of globalization, accounting for over had of all cross-border investments.

Promoting Foreign Direct Investment


Promotional efforts to attract foreign direct investment (FDI) have become the important point of competition among developed and developing countries. This competition is also maintained when countries are adopting economic integration at another level. While some countries lowering standards to attract FDI in a “race to the bottom,” others praise FDI for raising standards and welfare in recipient countries.

Foreign Direct Investment (FDI) Inflows by Sectors, August 1991 to December 2005,


 

Find below sector-wise FDI Inflows from August 1991 to December 2005:

Foreign Direct Investment in Bay of Bengal Initiative