BUSINESS

Global FDI flows fell sharply in 2017: UNCTAD

Geneva, June 7: Global Foreign Direct Investment (FDI) flows fell by 23 per cent in 2017 to $1.43 trillion in contrast to the global accelerated growth in gross domestic product (GDP) and trade registered last year, said the United Nations Conference on Trade and Development (UNCTAD) on Wednesday in its new report.

World Investment Report 2018 said that FDI flows to developing economies remained stable at $671 billion in 2017, seeing no recovery following a 10 per cent drop in 2016, while inward FDI flows to developed economies fell sharply, by 37 per cent, Xinhua reported. “Downward pressure on FDI and the slowdown in global value chains are a major concern for policymakers worldwide, and especially in developing countries,” UNCTAD Secretary-General Mukhisa Kituyi said. “Investment in productive assets will be needed to achieve sustainable development in the poorest countries.” The annual report said that global FDI flows are forecast to increase only marginally in 2018, by up to 10 per cent, but remain well below the average over the past ten years. (IANS)