Moreover, the report shows that since 2015 government policies have become less conducive to FDI, a finding not confined to any one group of host nations. The 27th Global Trade Alert report shows that these demands are being made when financial returns on FDI in all but one emerging market region are barely above those earned in safer industrial country markets. This comes at a time when governments and civil society are demanding that international business play a greater role in addressing pressing global challenges, such as advancing sustainable development and the transition to a low carbon economy. The reality is that FDI was in trouble long before.
Sharp reductions in FDI inflows have occurred since the onset of the pandemic.
