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The Wall Street Publication > Blog > Business > Foreign Investment Bounced Back Last Year but Did Little to Ease Supply Strains
Business

Foreign Investment Bounced Back Last Year but Did Little to Ease Supply Strains

Editorial Board Published January 19, 2022
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Foreign Investment Bounced Back Last Year but Did Little to Ease Supply Strains
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Foreign investment by businesses around the world rebounded strongly last year to exceed its pre-pandemic total, but little of that U.S.-led surge went toward boosting manufacturing capacity despite the widespread shortages of goods that have helped push inflation to its highest rate in decades.

A United Nations agency on Wednesday said that businesses invested $1.65 trillion outside their home countries in 2021, a 77% increase from $929 billion in 2020, when foreign direct investment fell sharply in response to the disruptions and uncertainties caused by the Covid-19 pandemic. That jump brought FDI flows back above their 2019 level of $1.5 trillion.

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