Table of contents

Preface iii

Foreword iv

Acknowledgements vi

Explanatory notes vii

Abbreviations viii

Chapter I

International investment trends 1

A. Global trends and prospects 5

1. Foreign direct investment inflows 5

2. Foreign direct investment outflows 11

3. Prospects 13

B. Regional trends 17

1. Developed economies 18

2. Developing economies 21

C. Sectoral highlights 40

1. Infrastructure 42

2. Extractive industries and critical minerals 44

3. Global value chain–intensive manufacturing industries 45

4. Investment in the Sustainable Development Goals 46

D. Major investor trends 51

1. Top non-financial multinational enterprises 51

2. State-owned multinational enterprises 57

3. Internationalization trends of private equity investment 61

References 65

Chapter II

Investment policy trends .69

A. National investment policies 73

1. Overall trends 73

2. Measures favourable to investors 76

3. Restrictive measures 82

B. International investment policies 88

1. Trends in international investment agreements 88

2. Trends in investor–State dispute settlement 98

References 104

International investment in a turbulent era: Trends and policy

response 105

A. Introduction 109

B. Competition in strategic sectors 113

1. The growth of international investment in strategic sectors 117

2. Emerging patterns of international investment in strategic sectors 120

3. Industrial policies and competitive investment strategies 132

4. Investment screening and national security considerations 139

C. Manufacturing investment and supply chain reconfiguration.149

1. Directions and drivers of supply chain reconfiguration 153

2. Regional patterns of supply chain reconfiguration 157

3. Sectoral dynamics 163

4. Investment policy responses to supply chain reconfiguration 166

D. Development implications and policy responses 170

1. Strategic prioritization: Identifying realistic entry points 173

2. Industrial policy amid fiscal asymmetries 175

3. Managing national security concerns in an open investment

environment 180

4. Turning shocks into opportunities 183

5. Regionalization as a development lever 184

E. Conclusion: The search for the commons 188

References 191

Annex A. Sectoral dynamics: Deep dives 195

Annex tables

FDI flows, by region and economy, 2020–2025 203

FDI stock, by region and economy, 2000, 2010, 2024 and 2025 207