Non-EU investors inject €21bn here

IRELAND WAS the second-largest net recipient of foreign direct investment (FDI) from outside the EU last year, new figures show.

According to data published yesterday by Eurostat, Ireland netted €21 billion in FDI from non-EU investors in 2010, and was second only to the UK, which received a net FDI boost of €28 billion.

The US was found to be Ireland’s biggest net investor, injecting €8.3 billion into the country over the year.

In terms of FDI outflows, Ireland invested €7.4 billion outside the EU, with the US receiving €1.6 billion of the total.

The figures also showed that FDI outflows from the EU-27 to the rest of the world declined sharply, falling 62 per cent to €107 billion last year. This was attributed to the significant declines recorded in investments in offshore financial centres, as well as the US and Switzerland.

Inward investment contracted even more severely, dropping 75 per cent from €216 billion to €54 billion.

As has been the trend in recent years, the region was a net investor in the rest of the world, with outflows exceeding inward investment by €53 billion.