South Africa has received the largest share of Foreign Direct Investment (FDI) in the African continent, with the figure rising more than five-fold from $1.2 billion in 2010 to $6.4 billion in 2012.
The figures came from the ‘Global Investment Trends Monitor’ report issued by the United Nations Conference on Trade and Development (UNCTD).
The report was published ahead of the fifth Brazil, Russia, India, China and South Africa (BRICS) summit to be held in Durban, South Africa, at the end of this month.
It shows that FDI in South Africa grew more than 10.3% in 2012, while it fell at double-digit rates in developed countries such as Australia, Germany or the United States.
The research found out that FDI going into Brazil, Russia, India and South Africa has more than tripled since 2000 and it totalled $263 billion in 2012.
Investment from BRICS into other countries has also climbed from $7 billion in 2000 to $126 billion in 2012 and it accounts now for 9% of the world flows.
On the other hand, foreign investment from BRICS into Africa represented 25% of Africa’s inflows last year.
South Africa is Africa’s largest and most developed economy with a GDP of about $578 billion. It became part of the BRIC political grouping in 2011 and is hosting the summit for the first time.
By Laura Millan