Investment, Enterprise and Development Commission, 15th session
Dear Ilyas Akhmetov, Chair of the Commission,
Excellencies, distinguished delegates, dear colleagues, ladies and gentlemen,
Let me warmly welcome you to the 15th session of the Commission on Investment, Enterprise and Development.
This Commission serves as a vital platform for discussing current and emerging issues in investment, enterprise, and technology - and their implications for sustainable development.
Allow me to highlight some key issues that are particularly relevant in today’s global context.
First on investment.
The global investment landscape remains fragile. Lingering effects of the pandemic, ongoing conflicts, and rising geopolitical tensions continue to erode investor confidence.
Recent tariff increases and trade disputes have further disrupted global value chains, introducing uncertainty that is causing many investors to delay or redirect their decisions. The most vulnerable economies are, once again, at risk of being left behind.
We estimate that foreign direct investment – FDI - flows declined by 8 per cent in 2024, with flows to developing countries down 2 per cent, totaling just over 854 billion US dollars. In most regions, FDI either declined or stagnated. For this year, global FDI flows are likely to stay subdued.
Particularly concerning is the outlook for greenfield investments in developing countries, which are crucial for building productive capacity. While manufacturing projects lost momentum, infrastructure-related project finance fell sharply.
These trends deepen the challenge of mobilizing investment for development.
In fact, the SDG investment gap in developing countries now exceeds 4 trillion US dollars per year.
All regions—except developing Asia — are seeing both lower SDG investment flows and smaller shares directed toward SDG-related sectors. This severely threatens countries’ ability to meet or make meaningful progress toward the SDGs.
One area of promise lies in the digital economy – the focus of this year’s World Investment Report. Digital investment can drive growth, enhance productivity, create jobs, and expand access to essential services, particularly for under-served communities. But significant gaps remain.
Let me highlight three critical gaps in digital investment:
First, the financing gap in digital infrastructure is substantial. In 2024, greenfield investment in ICT infrastructure totalled only nearly 15 billion dollars—far short of the 61 billion dollars needed annually to close the global connectivity gap.
Second, regional disparities are stark. Developed economies attract the majority of digital investment. Sub-Saharan Africa met just 3% of its annual connectivity needs through greenfield projects, while the Middle East and North Africa saw no new projects at all.
Third, digital FDI is highly concentrated within a handful of developing countries. Nearly 80% of digital investment is directed to just ten countries — seven of which are in Asia. Least developed countries are almost entirely absent from the digital investment landscape.
Unlocking digital investment requires more than just financial capital. Supportive policies are essential. Issues such as licensing remain top concerns for investors in digital infrastructure. Tools like visa schemes, e-government platforms, technology parks, and regulatory sandboxes can make a substantial difference. However, many critical policy elements are still missing. For example, only half of digital strategies in developing countries address environmental impacts, and few recognize the role of FDI in developing digital skills.
To help bridge these gaps, UN Trade and Development is working with partners to foster ecosystems that support sustainable investment and finance. This includes improving accountability, enhancing credibility, and promoting coherent policy frameworks.
Let me now turn to another major trend: Artificial Intelligence.
AI and other frontier technologies are transforming economies and societies at an unprecedented pace. In 2023, the AI market was valued at 190 billion dollars. By 2033, it is projected to reach 4.8 trillion dollars — a 25-fold increase in just a decade.
However, the rapid and uneven diffusion of these technologies is outpacing the capacity of many governments to respond. Also the diffusion is often not guided by ethical oversight and transparency, which can exacerbate existing inequalities.
Our 2025 Technology and Innovation Report addressed these concerns directly, calling for a people-centered approach to AI and greater global cooperation. The report encourages policymakers to adopt science, technology, and innovation strategies that promote inclusive progress.
Our work in digital and technology also illustrates how we create synergies across our three pillars of research and analysis, consensus-building, and technical cooperation — something you requested we report on in this Commission.
The E-commerce and Digital Economy Programme exemplifies the integrated approach. Our Digital Economy Reports and policy briefs offer cutting-edge research and analysis.
Combined with our statistical partnerships, this research can help shape important outcomes, such as the UN General Assembly resolution on the Global Digital Compact.
Through the Intergovernmental Group of Experts and the Working Group on Measuring E-commerce, we convert research into actionable policy recommendations and align technical cooperation with evolving priorities. The upcoming IGE will build on our 2024 report, which explored the environmental cost of digitalization. Our 36 eTrade Readiness Assessments and the ASYCUDA programme - our largest technical cooperation initiative - have been built and elaborated on the combined expertise and synergies.
Ladies and gentlemen,
This Commission offers a valuable opportunity to share experiences, exchange views, and hear directly from you on areas where further support is needed. Together, we can ensure that investment and technology are harnessed not just as tools for growth but as enablers of inclusive, sustainable development.
Thank you for your attention.
