Injections of foreign money may have fallen, but the Brazil managed to win a silver medal in the competition between the biggest destinations in foreign direct investment (FDI) in the world in 2023, according to data from Organization for Economic Co-operation and Development (OECD).
The country has become the second largest foreign investment recipient last year, with US$64 billion in net terms, a 12% decrease compared to US$73 billion in 2022.
Brazil was second only to U.Swhich lead the 2023 ranking. The largest economy in the world received a foreign injection of US$341 billion in the previous year.
Check the ranking:
- 1st – United States: US$ 341 billion
- 2nd – Brazil: US$ 64 billion
- 3rd – Canada: US$50 billion
- 4th – China: US$43 billion
- 5th – Germany: US$ 37 billion
- 6th – Mexico: US$ 36 billion
- 7th – Spain: US$ 34 billion
- 8th – Australia: US$ 32 billion
- 9th – France: US$ 30 billion
- 10th – Sweden: US$ 29 billion
Click here to receive the best moments and investment insights from Macro Summit Brasil 2024an event that brought together big names in the financial market (including Luis Stuhlberger and Daniel Goldberg)
In turn, the China had historically low flows and lost positions in the ranking, with an inflow of just US$42 billion. According to the OECD, the drop in foreign investment in the Asian giant accompanies “continuous geopolitical tensions and high interest rates”.
Globally, direct foreign investment flows decreased by 7% in 2023, to US$1.36 trillion, “continuing a downward trend and remaining below pre-pandemic levels for the second consecutive year”, stated the organization, in a report.
Considering only G20 countries outside the OECD, flows fell by 46%.
*With information from Estadão Conteúdo.
Tags: Brazil country received foreign investment leaves China
