Foreign direct investment in Asia rose last year

Foreign direct investment (FDI) in Asia edged up last year in contrast to predictions by many experts that they would fall due to financial market uncertainty, the Korea Trade-Investment Promotion Agency (KOTRA) said, citing a report from its Miami trade center.

The center quoted a report prepared by the United Nations Conference on Trade and Development (UNCTAD) on the result of FDI attracted by Asian countries; FDI in Asia totaled $91 billion, up about 1 percent from the previous year.

By country, FDI in Korea rose by $3 billion to $8.5 billion last year, but that in China fell $3.3 billion to $40.4 billion. The report indicated that change in investment environment in Korea apparently shifted the investment from China.

FDI in Hong Kong rose to $8.2 billion from $7.2 billion, Malaysia $3.8 billion from $3.7 billion, Singapore $8.7 billion from $7.2 billion and Taiwan $2.4 billion from $200 million, while FDI in Thailand shrank to $5.8 billion from $6.9 billion and the Philippines $900 million from $1.7 billion.

The UNCTAD, which regularly analyzes FDI every year, said the outlook of investment looks bright as Asia undertakes sweeping economic liberalization and restructuring, and signs of business recovery become visible.

2000.02.03