Key Facts – Shifting Capital Flows


“The volume of external flows to [sub-Saharan Africa] increased from $20 billion in 1990 to above $120 billion in 2012. Most of this increase in external flows to sub-Saharan Africa can be attributed to the increase in private capital flows and the growth of remittances, especially since 2005.”

Source: Brookings: Private Capital Flows, Official Development Assistance, and Remittances to Africa: Who gets what? May, 2015


“Developing countries have also become important sources of investments: while only 7 per cent of global FDI originated from developing countries at the end of the 1980s, developing countries accounted for 34 percent in 2012.”

Source: World Trade Organization World Trade Report, 2014


“Developing economies are increasingly recipients and sources of FDI. They absorbed more than half of global FDI inflows in 2012, versus less than 20 percent in 2000.”

Source: World Trade Organization World Trade Report, 2014


“The share of FDI outflows from developing countries grew from 7 percent at the end of the 1980s to 34 percent in 2012.”

Source: World Trade Organization World Trade Report, 2014


“In 2000, U.S. private flows to developing countries were roughly equal to official development assistance (ODA). Today, U.S. private flows ($100 billion-150 billion per year) are three to five times larger, and U.S. private philanthropy exceeds U.S. ODA ($30 billion) as well.”

Source: Brookings: Strengthening U.S. Government Development Finance Institutions, December 2013


“Developing countries’ share in global investment is projected to triple by 2030 to three-fifths, from one-fifth in 2000.”

Source: ‘Capital for the Future: Saving and Investment in an Interdependent World’ World Bank Report, 2013


“$57 trillion in infrastructure investment will be required between now and 2030-simply to keep up with projected global GDP growth.”

Source: McKinsey Global Institute (MGI) Infrastructure Report, January 2013


“The 2008 Commission on Growth and Development (also known as the ‘Spencer Report’) focused on the central role of growth in reducing poverty. It identified patterns among 13 countries that achieved sustained high growth after 1950: Botswana, Brazil, China, Hong Kong, Indonesia, Japan, South Korea, Malaysia, Malta, Oman, Singapore, Taiwan, and Thailand. With support from U.S. and other governments’ development agencies, each country grew through a series of reforms that attracted high levels of investment by promoting competition, structural change, exports, industrial policy, macroeconomic stability, financial sector development, effective government, and equity and equality of opportunity. Their success shared five common factors: (1) they fully exploited the world economy; (2) they maintained macroeconomic stability; (3) they mustered high rates of saving and investment; (4) they let markets allocate resources; and (5) they had committed, credible, and capable governments. Growth and poverty reduction in developing countries result firectly from new jobs, 9 out of 10 which are created by the private sector. Since 2003, foreign direct investment helped create 1.6 million new jobs in Affrica alone. Jobs lead to significant societal improvements: they are the primary factor in moving families out of poverty and foster greater civic participation.”

Source: World Bank World Development Report 2012: Jobs


“Based on current trends in economic and population growth, the World Bank estimates that an annual investment of $1.1 trillion will be needed for the next several years to satisfy expected demand for water, transportation, energy and communications systems—and that’s in emerging markets alone. Add to that the developed countries’ need to replace aging infrastructure and keep up with population growth. All told, demand for global infrastructure spending is projected to total somewhere between $40 trillion and $50 trillion over the next two decades.”

FWD Thinking Research: Investing in the Global Infrastructure Boom, 2012