In accordance with the 2013 World Investment Report of June 26, 2013,World has witnessed a 18 per cent decline in the inflows of Global F D I amounting to $1.35 trillion in 2012 as against $1.5 trillion in 2011 .
The United Nations Conference on Trade and Development Report ascribed the fall in global Foreign Direct Investment inflows to “economic fragility and policy uncertainty for investors”.
According to the UNCTAD developing nations have received large investment than the developed countries accounting for 52% of global Foreign Direct Investment flows which declined by 4%, to $703 billion. The UNCTAD forecast that in 2013, FDI will remain muggy to the 2012 plane, with an upper scale of $1.45 trillion.
However, the report cautions about the issues like structural weaknesses in the global financial structure, the likely worsening of the macroeconomic situation, and major policy vagueness in zones critical for investor confidence may perhaps lead to a further deterioration in FDI flows. The UNCTAD in its annual survey of investment trends reports depict that recovery to more robust investment planes will take long time than expected, mostly because of global economic crumbliness and policy vagueness.
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