East Asia & Pacific (IDA & IBRD countries) | Foreign direct investment, net inflows (BoP, current US$)
Foreign direct investment refers to direct investment equity flows in the reporting economy. It is the sum of equity capital, reinvestment of earnings, and other capital. Direct investment is a category of cross-border investment associated with a resident in one economy having control or a significant degree of influence on the management of an enterprise that is resident in another economy. Ownership of 10 percent or more of the ordinary shares of voting stock is the criterion for determining the existence of a direct investment relationship. Data are in current U.S. dollars. Development relevance: Private financial flows - equity and debt - account for the bulk of development finance. Equity flows comprise foreign direct investment (FDI) and portfolio equity. Debt flows are financing raised through bond issuance, bank lending, and supplier credits. Limitations and exceptions: FDI data do not give a complete picture of international investment in an economy. Balance of payments data on FDI do not include capital raised locally, an important source of investment financing in some developing countries. In addition, FDI data omit nonequity cross-border transactions such as intra-unit flows of goods and services. The volume of global private financial flows reported by the World Bank generally differs from that reported by other sources because of differences in sources, classification of economies, and method used to adjust and disaggregate reported information. In addition, particularly for debt financing, differences may also reflect how some installments of the transactions and certain offshore issuances are treated. Data on equity flows are shown for all countries for which data are available. Statistical concept and methodology: Data on equity flows are based on balance of payments data reported by the International Monetary Fund (IMF). Foreign direct investment (FDI) data are supplemented by the World Bank staff estimates using data from the United Nations Conference on Trade and Development (UNCTAD) and official national sources. The internationally accepted definition of FDI (from the sixth edition of the IMF's Balance of Payments Manual [2009]), includes the following components: equity investment, including investment associated with equity that gives rise to control or influence; investment in indirectly influenced or controlled enterprises; investment in fellow enterprises; debt (except selected debt); and reverse investment. The Framework for Direct Investment Relationships provides criteria for determining whether cross-border ownership results in a direct investment relationship, based on control and influence. Distinguished from other kinds of international investment, FDI is made to establish a lasting interest in or effective management control over an enterprise in another country. A lasting interest in an investment enterprise typically involves establishing warehouses, manufacturing facilities, and other permanent or long-term organizations abroad. Direct investments may take the form of greenfield investment, where the investor starts a new venture in a foreign country by constructing new operational facilities; joint venture, where the investor enters into a partnership agreement with a company abroad to establish a new enterprise; or merger and acquisition, where the investor acquires an existing enterprise abroad. The IMF suggests that investments should account for at least 10 percent of voting stock to be counted as FDI. In practice many countries set a higher threshold. Many countries fail to report reinvested earnings, and the definition of long-term loans differs among countries. BoP refers to Balance of Payments.
Publisher
The World Bank
Origin
East Asia & Pacific (IDA & IBRD countries)
Records
63
Source
East Asia & Pacific (IDA & IBRD countries) | Foreign direct investment, net inflows (BoP, current US$)
1960
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1963
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1969
417482884.6 1970
514955384.5 1971
533905576.7 1972
1023388711.3 1973
1164907900.8954 1974
1873082205.8936 1975
1404340314.5379 1976
1001681449.0028 1977
1135772959.8931 1978
924555968.8883 1979
1376936767.1726 1980
2273131439.4936 1981
2402953612.3329 1982
2818960513.3552 1983
2837398519.2701 1984
2948205676.2468 1985
3115673509.3905 1986
3923113338.2657 1987
6738494060.2031 1988
8353410404.9835 1989
10389726608.645 1990
13160916720.317 1991
21338095435.067 1992
38802115566.386 1993
45467084630.069 1994
50702277671.728 1995
58558294983.032 1996
63348869786.561 1997
59496975476.972 1998
53026891035.351 1999
48076240453.012 2000
52320355716.907 2001
63360293929.121 2002
68416161818.84 2003
83222215167.672 2004
129280050929.13 2005
152781035505.54 2006
193535920942.86 2007
211615652599.22 2008
155966132190.02 2009
298439207224.9 2010
337108152491.36 2011
304497804873.03 2012
361655043772.07 2013
329569915628.95 2014
305974606750.23 2015
220175396521 2016
239736592177.12 2017
311047692596.76 2018
261086883044.71 2019
302737764737.75 2020
437193569635.27 2021
262265806597.05 2022
East Asia & Pacific (IDA & IBRD countries) | Foreign direct investment, net inflows (BoP, current US$)
Foreign direct investment refers to direct investment equity flows in the reporting economy. It is the sum of equity capital, reinvestment of earnings, and other capital. Direct investment is a category of cross-border investment associated with a resident in one economy having control or a significant degree of influence on the management of an enterprise that is resident in another economy. Ownership of 10 percent or more of the ordinary shares of voting stock is the criterion for determining the existence of a direct investment relationship. Data are in current U.S. dollars. Development relevance: Private financial flows - equity and debt - account for the bulk of development finance. Equity flows comprise foreign direct investment (FDI) and portfolio equity. Debt flows are financing raised through bond issuance, bank lending, and supplier credits. Limitations and exceptions: FDI data do not give a complete picture of international investment in an economy. Balance of payments data on FDI do not include capital raised locally, an important source of investment financing in some developing countries. In addition, FDI data omit nonequity cross-border transactions such as intra-unit flows of goods and services. The volume of global private financial flows reported by the World Bank generally differs from that reported by other sources because of differences in sources, classification of economies, and method used to adjust and disaggregate reported information. In addition, particularly for debt financing, differences may also reflect how some installments of the transactions and certain offshore issuances are treated. Data on equity flows are shown for all countries for which data are available. Statistical concept and methodology: Data on equity flows are based on balance of payments data reported by the International Monetary Fund (IMF). Foreign direct investment (FDI) data are supplemented by the World Bank staff estimates using data from the United Nations Conference on Trade and Development (UNCTAD) and official national sources. The internationally accepted definition of FDI (from the sixth edition of the IMF's Balance of Payments Manual [2009]), includes the following components: equity investment, including investment associated with equity that gives rise to control or influence; investment in indirectly influenced or controlled enterprises; investment in fellow enterprises; debt (except selected debt); and reverse investment. The Framework for Direct Investment Relationships provides criteria for determining whether cross-border ownership results in a direct investment relationship, based on control and influence. Distinguished from other kinds of international investment, FDI is made to establish a lasting interest in or effective management control over an enterprise in another country. A lasting interest in an investment enterprise typically involves establishing warehouses, manufacturing facilities, and other permanent or long-term organizations abroad. Direct investments may take the form of greenfield investment, where the investor starts a new venture in a foreign country by constructing new operational facilities; joint venture, where the investor enters into a partnership agreement with a company abroad to establish a new enterprise; or merger and acquisition, where the investor acquires an existing enterprise abroad. The IMF suggests that investments should account for at least 10 percent of voting stock to be counted as FDI. In practice many countries set a higher threshold. Many countries fail to report reinvested earnings, and the definition of long-term loans differs among countries. BoP refers to Balance of Payments.
Publisher
The World Bank
Origin
East Asia & Pacific (IDA & IBRD countries)
Records
63
Source