“World Investment Report 2018” – UNCTAD – June 7, 2018

On June 7, 2018 the United Nations Conference on Trade and Development (UNCTAD) announced the release of the World Investment Report 2018.

Key messages include the following:

  • “FDI flows to transition economies declined by 27 per cent, to $47 billion.  The second lowest level since 2005. The decline reflects geopolitical uncertainties and sluggish investment in natural resources.
  • A decrease in rates of return is a contributor to the investment downturn.  The global average return on foreign investment is now at 6.7 per cent, down from 8.1 per cent in 2012. Return on investment is in decline across all regions, with the sharpest drops in Africa and in Latin America and the Caribbean. The lower returns on foreign assets may affect longer-term FDI prospects.
  • FDI remains the largest external source of finance for developing economies.  It makes up 39 per cent of total incoming finance in developing economies as a group, but less than a quarter in the LDCs, with a declining trend since 2012.”

On the UNCTAD internet site, you may read the key messages and download the report.