Publication of recent World Investment Report by UNCTAD

27-07-2011

Poland the 6th most attractive investment location in the world. Kraków the best for BPO projects. In Poland, the UNCTAD’s Word Investment Report 2011 was launched on July 26th, 2011 at the Polish Information and Foreign Investment Agency (PAIiIZ).

Poland’s significant rise in this year’s UNCTAD's Investment Report (5 points up from the 11th position in 2010) confirms the country’s strong position on the international investment scene - Poland was only preceded by world greatest economies of China and the USA and ranked before Germany and the UK. Despite the fall in FDI inflow to Poland in 2010 (from USD 13.7 bn to USD 9.7 bn) in 2011 FDI recovery and upward tendencies in the inflow can now clearly be seen - FDI inflow after the first 5 months of the year totalled EUR 4.2 bn i.e. 86% of the inflow recorded in the first 5 months of 2010 what accounts for 62% of the whole 2010 FDI inflow to the country. In the European context the upward trend has already found confirmation in this year’s annual survey of Investment Attractiveness of Europe launched by E&Y in June 2011. The report says that last year Poland recorded the highest increase in the number of FDI projects across Europe - 40% more than in 2009.

Kraków’s 1st position in the category of Locations for global services - Top 10 emerging cities shows that Polish cities have increasingly been perceived as the best destinations for BPO projects.

UNCTAD’s World Investment Report 2011 predicts that the recovery of FDI flows will continue in 2011 and will reach a total of some USD 1.4 to USD 1.6 trillion, thus returning to the pre-crisis average. Thereafter, flows are forecast to rise to USD 1.7 trillion in 2012 and USD 1.9 trillion in 2013. The record level of cash holdings, low rates of debt financing and rising stock market valuations of transnational corporations (TNCs) should encourage them to expand overseas. On the recipients’ side, ongoing corporate and industrial restructuring, privatizations resulting from fiscal rebalancing efforts and unwinding of state support programmes, and the growth of emerging economies should create new investment opportunities. However, the post-crisis business environment is still beset by uncertainties. Risk factors such as the unpredictability of global economic governance, a possible widespread sovereign debt crisis, and fiscal and financial sector imbalances in some developed countries, as well as rising inflation and signs of overheating in major emerging market economies, may yet derail the FDI recovery.

The full World Investment Report by UNCTAD to download HERE

Source: Polish Information and Foreign Investment Agency

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