"Akhbar al-Yawm" agency
UN: Greenfield leads to creation of direct jobs
Figures released by the United Nations conference on trade and Development (UNCTAD) and the fDi Markets database indicated that Lebanon attracted 12.3 million US dollars in foreign direct investments in new projects (Greenfield Foreign Direct Investments) in 2022, compared to 0.1 million dollars in 2021. These investments came in five projects in 2022 compared to one project in 2021. Lebanon attracted 27.7 million dollars in 2020 (four projects), 286.8 million dollars in 2019 (12 projects), 121.2 million dollars in 2018 (seven projects), 69.7 million dollars in 2017 (11 projects), 39.4 million dollars in 2016 (ten projects), 34.6 million dollars in 2015 (seven projects), and 1.3 billion dollars a year 2014 (ten projects), and 69 million dollars in 2013 (16 projects). The results of the survey were reported in the weekly bulletin of the Byblos Bank Group "Lebanon This Week".
FDi Markets pointed out that it covers cross-border Greenfield projects that lead to the creation of direct jobs and capital investments. It pointed out that iit included joint ventures in its estimates, specifically those whose deals led to the creation of jobs. While it clarified that it did not count mergers and acquisitions and other investments in equities (Equity Investments). FDi Markets is a database that monitors cross-border investments in the world and is owned by the Financial Times Group.
Globally, Lebanon was the seventh smallest recipient of foreign direct investment in new projects in nominal terms among 144 countries with a GDP of USD 10 billion or more, and the smallest recipient among 19 Arab countries in 2022. Lebanon was also among the 76 countries around the world that recorded an increase in the value of new investment projects coming to them last year. In comparison, the value of these projects coming to the Arab countries increased by 353.3% to 201.6 billion dollars in 2022, and the value of these projects increased by 152.5% in the economies of Western Asia to 75 billion dollars last year.
Lebanon attracted the fifth lowest number of Greenfield projects globally in 2022, as did Angola, Guinea, Libya, Mauritius, and Myanmar. Also, Lebanon came among the 99 world countries that recorded an increase in the number of foreign direct investment projects in new projects last year. In comparison, the number of projects coming to the Arab countries increased by 73.4% year-on-year to 1,784 projects in 2022, and the number of such projects increased by 67% in the economies of Western Asia to 1,854 projects last year.
The value of foreign direct investment projects in new projects in Lebanon accounted for 0.006% of the total value of Greenfield projects coming to the Arab countries last year, compared to 0.0002% in 2021.. It also accounted for 0.02% of the total projects coming to West Asian countries, up from 0.0003% in 2021. Also, the value of Greenfield projects in Lebanon amounted to 0.07% of GDP in 2022, the lowest percentage in the Arab world, compared to 0.0006% of GDP in 2021.