The importance of the distribution of foreign direct investment: keys to economic and sustainable growth

Foreign Direct Investment (FDI) is a crucial factor for the economic growth of countries, and its distribution across different sectors can be decisive for long-term sustainable development. In recent years, a significant shift in investment preferences has been observed, with a clear move towards the secondary sector at the expense of services. According to United Nations data, in 2023, there were over 18,000 FDI projects worldwide, a 2% decrease compared to the previous year. The most notable was the increase in investment intention in the secondary sector by 7%, while the tertiary sector experienced a contraction. This shift reflects a trend towards seeking opportunities in industries related to energy, manufacturing, and construction. The primary sector, which includes activities such as agriculture and livestock, has seen a decrease in its share of global FDI, dropping from 8% in 2022 to 5% in 2023. In contrast, the secondary sector has increased its importance, now representing 44% of total foreign direct investments, up from 37% the previous year. This change reflects the growing demand for manufactured products and services related to infrastructure and technology. The most attractive industries for FDI currently are those related to energy, electronics, information, automotive, construction, steel, transportation, and chemical industry. These sectors offer growth and profitability opportunities for foreign investors and underscore the importance of innovation and diversification in the global economy. In the case of Mexico, the country has experienced a contraction in FDI in recent years, especially regarding investment in new projects. This phenomenon can be partly attributed to the lack of public policies aimed at promoting investment in key sectors such as energy, manufacturing, and construction. To maintain its attractiveness as a destination for foreign investment, Mexico will need to focus on improving its infrastructure, strengthening its regulatory framework, and promoting innovation in strategic sectors. In a global context marked by uncertainty and economic volatility, it is crucial for countries to identify the opportunities and challenges presented by FDI in different sectors. The secondary sector emerges as an area of potential growth to attract investments and promote long-term economic development. Governments and economic actors must work together to seize these opportunities and ensure sustainable and equitable growth for all. In summary, the distribution of FDI in the coming years should focus on sectors that drive innovation, economic diversification, and job creation. The world is changing, and countries that can adapt to these transformations will lead the way towards a prosperous and sustainable future for all.