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FDI Data

Foreign Direct Investments flows (FDI) to Lebanon jumped by 1% in 2017 compared to 2016 reaching a value of 2.62 USD Billion, reversing the trend of overall FDI flows to the region, again highlighting the confidence of investors in the Lebanese economy.

 

FDI INFLOWS TO LEBANON (USD billion|2010-2017)
Source: UNCTAD World Investment Report 2018

 

On the other hand, the West Asia region which Lebanon belongs to, registered a continuous decline in FDI, with a 17% decline from 2016 to reach USD 25.5 billion. This decline was fueled by weak oil prices, fiscal restructuring and political uncertainty in Gulf countries.

 

FDI INFLOWS TO WEST ASIA REGION (USD billion|2008-2017)
Source: UNCTAD World Investment Report 2018

 

Turkey, the United Arab Emirates and Lebanon accounted for the lion’ share of inward FDI in the region while Saudi Arabia, which is traditionally the largest recipient of FDI in this region saw its FDI flows decrease by four-fifths in 2017 due to major divestments from foreign MNEs and increased political risk.

 

FDI INFLOWS TO WEST ASIA (% share|2017)
Source: UNCTAD World Investment Report 2018

 

Middle-Eastern countries which saw a positive increase in their FDI include Bahrain (+144%), Qatar (+27%), Oman (+11%), the UAE (+8%), Jordan (+7%), and Lebanon (+1%).

 

FDI INFLOWS TO THE MIDDLE-EAST (USD million|2017) 
Source: UNCTAD World Investment Report 2018

 

In relative terms, when accounting for a country’s size and GDP relative to FDI inflows, Lebanon stands out as the top performer in the region with FDI inflows accounting for 5.1% of GDP.

 

FDI INFLOWS TO THE MIDDLE-EAST REGION AS A % OF GDP (% share|2017)
Source: UNCTAD World Investment Report 2018

 

The trend in the West Asia region follows the trend in Global FDI inflows which reached USD 1.43 trillion in 2017, a 23% decrease from 2016 levels, stemming from uncertainties regarding investment policies in major economies and escalating trade tensions.

 

Developed countries registered the largest drop when compared to other regions in the world estimated at (-37%), with Europe witnessing the largest decrease of (-42%) followed by North America with (-39%). This was mainly due to large reduction in FDI flows to the United Kingdom and to the United States demonstrated by fewer megadeals and divestments by major Multinational Enterprises (MNEs) in the UK and lower financial inflows towards US offshore financial centers. On the other hand, FDI flows to developed economies in Asia Pacific mainly Australia and Japan remained stable in 2017.

 

Developing countries in Asia regained their position in 2017 as the largest FDI recipient in the world after registering an annual growth rate of 21% at the end of 2017 and accounting for 33% of total global FDI inflows. Latin America & the Caribbean region registered a growth of 8% in FDI inflows in 2017 due to increasing local and global demand for its main commodities mainly soybeans, metal and oil. However, African countries saw their FDI inflows decrease by 21% from their 2016 levels mainly due to weak oil prices and challenging macroeconomic environment.

 

REGIONAL CONTRIBUTION TO GLOBAL FDI FLOWS (USD billon and %|2016-2017)
Source: UNCTAD World Investment Report 2018

Get in Touch
Lazarieh Tower, 4th Floor, Emir Bechir Street, Riad El-Solh Beirut, Lebanon, P.O.Box 113-7251
Phone
+961 1 983306
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+961 1 983302
WORLD INVESTMENT REPORT 2018