According to the most recent FDI report compiled by FDI Intelligence, the slow recovery in greenfield FDI in 2011 ground to a halt in 2012. With numbers reflecting the second biggest decline since the start of the world recession, all global regions experienced a decline.
But FDI into Africa was dealt less of a blow than in other parts of the world. Between 2011 and 2012, the number of new projects in Africa was down by 12%, which was more moderate than the global decrease of 16%. Sub-Saharan Africa saw the bulk of these investments, with fears of political unrest holding financiers back from North Africa.
Although the amount of capital invested in FDI globally contracted even more sharply last year at 18.3%, capital inflows to Africa increased. The amount invested into Africa rallied by 5.5%, signalling healthy prospects for the future.