FDI could decrease up to 15% in 2015, but global mergers and acquisitions are expected to rise.
Greenfield FDI is expected to decline by up to 15% in 2015 from 2014 levels, experts reported at the second annual fDi Forum in London on September 24. Global mergers and acquisitions (M&A), however, are on the rise, particularly in North America and the Asia-Pacific region. International business leaders and legal experts emphasised the importance of FDI to economic growth, highlighting its role in global trade, employment, and research and development (R&D).
Greenfield FDI is down in every region of the world, according to Dr Henry Loewendahl, chief executive of Hong Kong-based FDI consultancy Wavteq. “FDI is expected to be lower than in 2014 and most industries are down. These are very challenging times to attract greenfield investment from multinational enterprises.”