A report from the United Nations Conference on Trade and Development (UNCTAD) established that due to the damage caused by the Covid-19 pandemic, the projected investments all over the world slowed down and the prospects for deep recession led multinational companies to reevaluate their plans.
«The drop in FDIs is more drastic than expected, particularly in the developed economies. The developing nations weathered the storm relative well during the first semester of the year,» UNCTAD Director of Investments and Enterprises said.
The official warned that the future prospect is still uncertain at this level.
According to the report, the developed economies experienced a bigger decrease in FDIs, estimated at 98 billion dollars in the first six months of the year, accounting for a drop of 75% compared to 2019.
From January to June 2020, the Asian developing countries accounted for more than 50% of the world’s FDIs, according to the document.
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