#FDI in #LatAm rose 8% during the first half of 2012, to $94.3 billion -EIU
Abundant #Commodities, Economic Dynamism Fuel Growth
No Let-up Seen in Latin America’s Foreign Investment Boom
Foreign direct investment (FDI) in Latin America rose 8% during the first half of 2012, to $94.3 billion, and is expected to continue growing in coming years, reflecting the region’s “dynamism” and abundant natural resources, according to the Economist Intelligence Unit.
For all of 2012, FDI in Latin America will total an estimated $148 billion, down from a record $153.5 billion in 2011 but still a “solid year” amid sluggish economic growth globally, the Economist Intelligence Unit said in a recent report. By 2016, FDI may reach $195.6 billion.
“Although the rise in FDI inflows was somewhat uneven across the region, the overall positive trend continues to highlight the region’s attractiveness as an investment destination,” the group’s analysts wrote. The trend stems from Latin America’s “economic stability and relative dynamism, coupled with its significant energy and mineral resources (against a backdrop of persistently high commodity prices).”
The Dominican Republic led FDI inflows during the first half of the year with an increase of 145%, followed by Chile, up 80%, Bolivia, up 53%, and Guatemala, up 47%. Investment inflows fell 60% in El Salvador, dropped 20% in both Nicaragua and Venezuela and declined 19% in Mexico.
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No Let-up Seen in Latin America’s Foreign Investment Boom
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