Abstract:
Global investment flows will come under even greater pressure in 2021 as a
result of the COVID-19 pandemic. These vital resources have been shown to decline sharply from
$1.5 trillion in 2020, falling well below the minimum level they were at during the global financial
crisis, which will wipe out the already sluggish international investment growth of the past decade.
Inflows to developing countries would be particularly hard hit, as investments in export-oriented
and commodity-based industries, in particular, would be hit hardest. The consequences may be felt
much longer than the immediate impact on investment flows.
