IMPORTANT NOTICE | Mayberry Investments Limited is a cashless institution.

Mayberry Investments Limited is a cashless institution.
Please note that cash deposits into any Mayberry account held at commercial banks, whether made in-branch or via Automated Banking Machines (ABMs), are not accepted and will not be processed. For information on accepted payment methods, please contact your Investment Advisor.

FDI to Developing Economies Hits Lowest Level Since 2005, Says World Bank

June 17, 2025

Foreign direct investment (FDI) into developing economies has fallen to its lowest level since 2005, according to new World Bank research. In 2023, developing countries received just $435 billion in FDI, a sharp drop that reflects rising barriers to trade and investment. These restrictions threaten progress toward global development goals, especially as public debt rises and foreign aid declines.

FDI now accounts for about half of external financing for developing economies and is one of the most effective forms of private investment. Yet, in 2025, half of all FDI-related policy measures in these countries have been restrictive, the highest share since 2010.

World Bank economists emphasize that this decline is largely driven by policy choices. Reversing the trend will require domestic reforms to improve business climates, encourage trade, and strengthen institutions. The upcoming Conference on Financing for Development in Seville will address these issues.

Investment treaties and trade openness significantly boost FDI inflows, but new agreements have slowed in recent years. From 2010 to 2024, only 380 new investment treaties were enacted, far fewer than in earlier decades. Trade agreements also declined, reducing their potential to attract capital.

FDI remains heavily concentrated, with the top 10 developing countries receiving two-thirds of all inflows. China alone attracted nearly one-third, while the poorest 26 countries received only 2 percent. Most of the funding originates from advanced economies, particularly the EU and the United States.

The World Bank recommends three key actions:

  1. Attract more FDI by removing restrictive policies and improving the investment climate.
  2. Maximize FDI benefits through institutional reform, human capital development, and formal sector participation.
  3. Strengthen global cooperation to direct investment toward countries with the greatest need.

The World Bank continues to support these efforts by helping lower investment risks, improving market conditions, and increasing private sector engagement.

Source: (Caribbean News Global)

Disclaimer:

Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer(s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation(s) or view(s) expressed by that research analyst in this research report.

Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.

More Stories from the Market
MIL
June 24, 2026 Mayberry Jamaican Equities Limited (MJE) has advised that the daily Net Asset Value (NAV) for June 16, 2026, was J$8.11. MJE’s closin…
MIL
June 24, 2026 Mayberry Jamaican Equities Limited (MJE) has advised that the daily Net Asset Value (NAV) for June 15, 2026, was J$8.21. MJE’s closin…
MIL
June 24, 2026 Mayberry Jamaican Equities Limited (MJE) has advised that the daily Net Asset Value (NAV) for June 12, 2026, was J$8.25. MJE’s closin…
MIL
June 24, 2026 Mayberry Jamaican Equities Limited (MJE) has advised that the daily Net Asset Value (NAV) for June 11, 2026, was J$8.13. MJE’s closin…
shutterstock_453968572
June 24, 2026   United States: US Diesel Prices Fall Under $5, Easing Inflationary Pressure   The cost of diesel in the US fell be…
shutterstock_148562033
June 23, 2026   Everything Fresh Limited (EFRESH) has advised that a Director purchased a total of 11,000 EFRESH shares during the period J…
shutterstock_148562033
June 23, 2026    Productive Business Solutions Limited (PBS) has advised that during the period June 10 to 18, 2026, connected parties sold…
shutterstock_148562033
June 23, 2026   JMMB Group Limited (JMMBGL) has advised that connected parties purchased a total of 89,252 JMMBGL shares during the period …