In 2021, global foreign direct investment (FDI) flows showed a strong rebound, according to United Nations Conference on Trade and Development’s (UNCTAD) Investment Trends Monitor.
Developed economies saw the biggest rise by far, with FDI reaching three times the exceptionally low level in 2020, the report shows. But recovery in development sectors remains fragile.
UNCTAD Secretary-General, Rebeca Grynspan, says “recovery of investment flows to developing countries is encouraging, but stagnation of new investment in least developed countries in industries important for productive capacities, and key SDG sectors – such as electricity, food, or health – is a major cause for concern.’’
UNCTAD is the UN trade and development body. It supports developing countries to access the benefits of a globalised economy more fairly and effectively and equips them to deal with the potential drawbacks of greater economic integration.
It provides analysis, facilitates consensus-building and offers technical assistance to help developing countries use trade, investment, finance and technology as vehicles for inclusive and sustainable development.