Global foreign direct (FDI) investment fell by 11%, marking the second consecutive year of decline and confirming a deepening slowdown in productive capital flows.
Investment dropped sharply across developed economies, particularly in Europe. In developing countries, inflows appeared broadly stable – but this concealed a deeper crisis. In too many economies, capital is stagnating or bypassing entirely the sectors that matter most – infrastructure, energy, technology, and the industries that drive job creation.
This year’s report comes ahead of the Fourth International Conference on Financing for Development (FFD4), where global leaders will address the widening gap between capital flows and development needs.
“Too many economies are being left behind not for lack of potential – but because the system still sends capital where it’s easiest, not where it’s needed.”
Rebeca Grynspan
Secretary-General of UN Trade and Development (UNCTAD)