Sunday, July 26, 2020

World Investment Report 2020

According to UNCTAD's World Investment Report 2020, FDI inflows in 2019 amounted to USD 246 billion, down from USD 254 billion of 2018 (-2.9%). The decline is mainly due to the fall of cross-border M&A sales for the fourth consecutive year. The US FDI stock in 2019 reached USD 9 465 billion. The country remained the top destination for FDI in 2019 due to its large consumer base, a predictable and transparent justice system, a productive workforce, a highly developed infrastructure and a business environment that fosters innovation. In 2019, the United States was the second largest investor in the world with FDI outflows - after Japan - reaching USD 125 billion. The main investor countries in the United States are United Kingdom, Canada, Japan,  the Netherlands, Luxembourg, Germany and Switzerland. Most of these investments are in manufacturing, financial and insurance activities, trade and maintenance, and information and communication. According to a UNCTAD survey of multinational enterprises (MNEs), the United States is considered the first potential host economy in terms of FDI for 2017-2019, ahead of China and India.
According to the World Bank's Doing Business 2020 report, the United States ranks 6th out of 190 countries for the quality of its business climate, gaining two spots compared to 2019. The country remains the world's leading economic power, the largest international financial center, and the third largest country in the world in terms of population. The United States is one of the countries with the best regulatory performance in paying taxes. In 2019, they made paying taxes less costly (decrease in the corporate income tax rate) in New York City and Los Angeles. Starting a business is now easier (online filing of the statement of information for limited liability companies) and enforcing contracts too (electronic filing and electronic payment of court fees). In order to have a better rank, the US can improve his ability to get electricity, register property and trade across border.

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