Foreign Direct Investment (FDI) – additional information
Foreign Direct Investment (FDI) is an investment from a company in one country into a company or entity located in another country. In this case direct foreign investment is shown for companies/entities located in the United States. In the last 17 years, the amount of FDI in the United States has more than doubled. In 2000, FDI was 1.26 trillion U.S. dollars and in 2017 it had risen to 4.03 trillion U.S. dollars.
In 2017, the United Kingdom, Japan and Luxembourg invested large amounts of money in different companies or entities in the United States. The United Kingdom alone invested over 540 billion U.S. dollars in the United States that year.
The United States is attractive when it comes to foreign investment inflows, as it is currently ranked second, after Singapore, in a list of the 20 most attractive foreign markets worldwide according the investment and free trade Index.
However, while the United States receives huge amounts of FDI each year, it also invests even greater amounts in other countries. For example, in 2017 the United States invested over 936 billon U.S. dollars in the Netherlands and another 747 billion U.S. dollars in the United Kingdom. Other countries invested in the United States that same year. In fact, the United States has almost tripled the FDI outflows of any other country in the world.