By EuAsiaNews,
Brussels : Fresh evidence that India is now a major player in the global economy is provided by the latest report of the 27-nation European Union (EU)on foreign direct investment (FDI).
Indian companies invested 10 billion euro* in the EU in 2007 in contrast to 1 bn euro in 2006, according to the data released by the EU’s statistical office, Eurostat on Monday.
EU companies invested 11 billion euro in India during the course of last year in contrast to 3 bn in 2006.
FDI is a good indicator of the long-term relationship between the investor and the enterprise. It is the very opposite of foreign capital inflows seeking a quick return.
FDI in the EU by China came to just 0.6 billion euro in 2007, and by Hong Kong to one billion euro. Brazilian FDI in the 27-nation EU amounted to just under two billion euro last year.
EU investments in China amounted to 1.8 billion euro last year, while FDI flows to Hong Kong stood at 6 billion euro.
FDI by EU firms in Brazil came to just over 7 billion euro.
These figures must be viewed in the context of total FDI investments by the EU in non-EU countries in 2007, when outflows rose by 53 percent to 420 billion euro, as compared to 2006.
The EU invested 113 billion euro in the United States and 58 billion euro in Canada.
FDI inflows from the rest of the world into the EU increased by 90 percent to 319 billion euro last year. The United States alone invested 145 billion euro in the EU.
The U.K. and Germany were the main actors in the 27-nation EU as regards both inflows and outflows of FDI in 2007.
One euro == 1.55 USD