The coronavirus pandemic “accelerated a steady decline and contributed to sinking global FDI flows to their lowest levels since 2005,” said the report. In 2020, global FDI flows represented only 1% of world GDP – their lowest level since 1999.
The FDI inflows nosedived in most countries last year, according to the OECD. They crashed by 70% across the European Union, “mostly due to divestments from the Netherlands and decreases that surpassed $10 billion in a number of EU countries.”
Inflows to G20 economies decreased by 28%, while outflows dropped by 43%.