Geneva, Switzerland, 5 Oct – The United Nations Conference for Trade and Development (UNCTAD) has chosen Brazil as the fifth best country in the world in which to invest, according to a report published Thursday in Geneva.
According to the report “Perspectives on World Investment,” drawn up by the UN body, international investments by trans-national companies will increase over the next three years, despite current financial unrest and increased protectionism in some countries.
More than two thirds of the around 200 executives of the main corporations surveyed by UNCTAD said they were interested in increasing their foreign investments before 2009.
In a press conference, UNCTAD economist Jean-François Outreville said that, “Asia was one of the main destinations for investments over the last five years and will continue to be so in the future.”
The two most attractive countries for investment are China and India, whilst Vietnam is gaining ground and is now considered the sixth most attractive by the executives.
They have not lost interest in the United States of America and Russia, however, which were ranked third and fourth, respectively.
Along with Brazil, Mexico was the only other Latin American country amongst the top 20 countries preferred by the multinational companies, having placed ninth.
Despite a slight increase in interest in the region in 2006, the UNCTAD economist said there had been “a stabilization” of foreign investments in Latin America.
Amongst European countries, only the United Kingdom and Poland were amongst the top ten preferred countries for investment. The report noted, however, that East European countries were becoming more attractive.
The main reason for executives to make foreign investments is access to large markets or those with rapid growth and, to a lesser extent, a search for resources, mainly a qualified workforce. (macauhub)