What Are The Major Foreign Investments Of The World?

Reflecting the dominance of the United States in the global economy, the United States accounted for 66.3 percent of the world foreign direct investments. This was the contribution by the United States in the era of 1960s. The British were the second in number, and accounted for ten percent of the world total economy. The contributions from the Japanese were only two percent in the foreign direct investments in the era of 1990s. The dominance of United States firms we so great that many books were written on the glorious United States Corporation. Several European countries and their government have talked of limiting the investment of foreign countries in their countries specially France where the United State's foreign investments were so high.

As the free trade started between the countries, services and capital, then the other countries of the world increased their share in the world foreign investments. Many Non-United States firm are investing their capital in the other countries across the borders. The motivation behind these foreign direct investments by the non-United States firms is the desire to disperse production activities to optimal locations and build direct investments in foreign markets. So this trend leads other countries to invest their money in the developing countries that do not have sufficient resources.

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