Ecuador was the country with lowest foreign direct investment in Latin America (as a % of the GDP)

September 30, 2013 2 Comments

Ecuador was the country with the lowest Foreign Direct Investment (FDI) in Latin America

Summary of the article by Luis Fierro Carrión published in Revista Gestión, No. 229 (July / Aug 2013).
Ecuador was the country in Latin America and the Caribbean that received the least amount of Foreign Direct Investment (FDI) as a proportion of GDP in 2012, according to a recent study by ECLAC.  According to this study (http://goo.gl/4QKKV), Ecuador received only 0.6 % of GDP as FDI, below countries such as Venezuela and Haiti.
In absolute terms, according to ECLAC, Ecuador received a total of $364 million in the period Jan.-Sept. 2012; according to more recent statistics by the Central Bank of Ecuador, the amount for all of 2012 was $586 million (http://goo.gl/WlMCq).  However, not all this amount represents new capital inflows.
According to the Central Bank, the new investments were only $227 milllion, whereas $ 300,6 million corresponded to reinvested profits, and $ 58.9 million to other capital (inter-company loans).  The preliminary data for 2012 reflect a reduction of 8.2 % with respect to 2011, and a reduction of 44 % in comparison to the amount reached in 2008 ($ 1,057 million).
ECLAC indicates in its report that the main countries of origin of FDI towards Ecuador were Mexico, CHina and Canada, and the main receiving sector was the exploitation of natural resources (oil and mines).
Spanish summary, and link to magazine:
  • rushanessays - February 12, 2016 3:22 AM

    Nice to know.

  • essay on time - August 9, 2016 1:05 AM

    Fine information, many thanks to the author. It is puzzling to me now, but in general, the usefulness and importance is overwhelming. Very much thanks again and best of luck!

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