Pandemic will cut global investment flows more than feared: UN

GENEVA (AFP) – The global COVID-19 pandemic is now expected to take a far worse toll on foreign direct investments (FDI) worldwide than feared just a few weeks ago, United Nations (UN) economists said on Thursday.

A fresh report from the UN Conference on Trade, Investment and Development (UNCTAD) warned that the rapid spread of the coronavirus would cause a “dramatic drop” in global foreign direct investment, which is a measure of cross-border private sector investment.

The agency said it now believed that global FDI could be as much as 40 per cent lower than its projections in January, when it had expected to see up to five per cent growth this year and next.