FDI Perspective No. 172: “Not all foreign direct investment is foreign: the extent of round-tripping,” by Maria Borga

Some foreign investment represents domestic funds that have been sent abroad before returning to the domestic economy, called round-tripping. Traditional FDI statistics do not distinguish round-tripping from genuine foreign investment. This Perspective argues for countries to produce statistics by ultimate investing country to identify the round-tripping in their economies.

A translation in Mandarin is also available via the “Download Resources” button.