Wednesday, September 23, 2009

No Early Global Economic Recovery

How I hate to report information like this where it all seems so gloomy. The international investment that many developing countries rely on for growth is unlikely to rebound fully for two years or more -- at least that is what the United Nations trade and development agency (UNCTAD) claims. This means a lot of companies will be reluctant to expand internationally. Tell me it's not so.
Global FDI prospects are set to remain gloomy in 2009, with inflows expected to fall below $1.2 trillion," UNCTAD said. "However, recovery of these flows is expected to begin slowly in 2010 to reach up to $1.4 trillion, and will gather momentum in 2011 when the level could reach an estimated $1.8 trillion."
The 2009 forecast is well below 2008's $1.7 trillion, which was in turn down 14 percent from the 2007 peak of $2.0 trillion.

"In the short run, with the global recession expanding into 2009 and slow growth projected for 2010, as well as the drastic fall of corporate profits, FDI is expected to be low," it said.
Read more about what's going on here.
And don't let it stop you from moving forward on a global basis. Mindset is just as important as preparation for what's ahead.

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