Mexico ranks 11th in FDI attraction in the world

MEXICO - Mexico remained in 11th position among the main recipients of Foreign Direct Investment (FDI) in the world in 2022, with US$35 billion, an annual increase of 12%, informed the United Nations Conference on Trade and Development (UNCTAD).

In its World Investment Report 2023, UNCTAD indicated that this classification was led by the United States, with US$285 billion, followed by China, with US$189 billion.

With these results, flows to the United States fell by 26.5% and those to China increased by 4.4%.

This was followed by Singapore ( US$141 billion), Hong Kong (US$118 billion) and Brazil (US$86 billion).

Globally, FDI declined 12% in 2022 to US$1.3 trillion, after a strong rebound in 2021 following the sharp Covid-19 pandemic-induced drop in 2020.

The decline was mainly due to lower financial flows and transactions in developed countries. The slowdown was driven by overlapping crises: the war in Ukraine, high food and energy prices, and debt pressures.

The fall in FDI flows was mainly due to financial transactions by multinational companies in developed economies, where FDI fell by 37% to US$378 billion.

The Report, subtitled Investing in Sustainable Energy for All, shows that much of the growth in international investment in renewable energy, which has nearly tripled since the adoption of the Paris Agreement in 2015, has been concentrated in developed countries.

Among developing countries, Mexico ranked 8th in attracting FDI in renewable energy from 2015 to 2022, with close to US$40 billion, a ranking in which Brazil was at the top, with more than US$110 billion.