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单词 foreign direct investment
释义 foreign direct investment

The acquisition by residents of a country of real assets abroad. This may be done by remitting money abroad to be spent on acquiring land, constructing buildings, mines, or machinery, or buying existing foreign businesses. Inward foreign direct investment similarly is acquisition by non-residents of real assets within a country. Once a country has real assets abroad, if these make profits which are ploughed back into expanding enterprises, this should ideally be shown in the balance of payments as receipts on current account balanced by an outflow on capital account. In fact balance-of-payments accounts often show only net remittances of profits as a current account item, ignoring profits earned abroad and ploughed back in both current and capital accounts.

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更新时间:2024/9/21 12:23:19