Hong Kong becomes world's 3rd largest recipient of FDI

By Kim Young-gyo
HONG KONG, July 27 (Yonhap) -- Hong Kong became the world's third-largest recipient of foreign direct investment (FDI) in 2010, boosted by its role as a gateway to China, the world's No. 2 economy, a United Nations report said Wednesday.
The U.N. Conference on Trade and Development (UNCTAD) report showed the net inflow of FDI in the territory stood at US$68.9 billion last year, increasing 31.5 percent from a year earlier.
This marks the first time that Hong Kong has gained third place in the global rankings, after jumping into fourth place in 2009 from ninth position in 2008.
For the 13th consecutive year, Hong Kong was the second-largest FDI recipient in Asia, after mainland China.
The report also showed that Hong Kong enjoyed the largest accumulated foreign investment in Asia, with $1 trillion, or 30 percent of the so-called FDI stock held in Asia.
The UNCTAD said inflows and outflows for developing Asian economies are expected to continue to grow. It said countries in the region have made considerable progress in their regional economic integration efforts, which will translate into a more favorable investment climate for intraregional FDI.
ygkim@yna.co.kr