FDI to Germany in 2002 increased by about 50%, to €23,990 million, putting that country in fourth place among the top FDI destinations worldwide. The performance is even more impressive given the general downturn in foreign direct investment during 2001-2002. The European Union - led by the UK, Belgium and Luxembourg - is Germany´s largest partner for both inflows and outflows. The US has also been among the top recipients of Germany´s outflows in recent years, except in 2002 when German firms disinvested from the country. The services sector accounts for the largest share of FDI flows.
Germany´s FDI stock has grown considerably over the past two decades and in 2001 accounted for about 33% of GDP, well above the regional average. The 14% ratio for inward stock suggests there is some potential for increased FDI. Stock into developing economies is declining, representing some 9% of all stock, and is concentrated mainly in Latin America and the Caribbean. There are some 13,800 foreign affiliates in Germany, which in 2001 employed more than 2 million people.
Finland witnessed even more dramatic growth in 2002, with inflows almost doubling to €4,172 million; outflows were down slightly. Sweden is the country´s most important FDI partner, accounting for more than 70% of inflows and outflows in 2002.
Like Germany, Finland has seen a rapid increase in its FDI stock during the past 20 years, with outward stock growing much faster than inward stock: the country has been a net outward investor since the mid-1980s. The services sector is increasingly important, accounting for more than a quarter of inward stock and more than half of outward stock since 2000. Some 2,400 foreign affiliates in Finland employed more than 219,000 people in 2001, and one fifth of their total sales are exported.
National investment profiles are being published online as they become available, based on each country´s reporting schedules. The profiles, which are part of UNCTAD´s World Investment Directory, provide quick electronic access to the latest statistics on foreign direct investment (FDI) and the operations of transnational corporations (TNCs). They include statistical definitions and sources, a listing of relevant national laws and regulations, information on bilateral and multilateral agreements and a bibliography.
