Foreign direct investment (FDI) flows is the value of cross-border transactions related to direct investment over time.
FDI is when an investor resident in one economy establishes a lasting interest in and a significant degree of influence over an enterprise resident in another economy. Financial flows consist of equity transactions, reinvestment of earnings, and intercompany debt transactions.
Outward flows represent transactions that increase the investment that investors in the reporting economy have in enterprises in a foreign economy, such as through purchases of equity or reinvestment of earnings, less any transactions that decrease the investment that investors in the reporting economy have in enterprises in a foreign economy, such as sales of equity or borrowing by the resident investor from the foreign enterprise.
Inward flows represent transactions that increase the investment that foreign investors have in enterprises resident in the reporting economy less transactions that decrease the investment of foreign investors in resident enterprises.
This indicator is measured in million USD.