Euro area foreign direct investment since 2018: the role of special purpose entities

Virginia Di Nino

Economic Bulletin Boxes, 2019, vol. 9

Abstract: This box shows that the reversal in gross flows of euro area foreign direct investment (FDI) in 2018 was to a large extent due to developments in flows in Luxembourg and the Netherlands, with Ireland and Belgium contributing to a lesser extent. The episode can be explained by the activity of special purpose entities located in these countries and is also likely to be related to the US corporate tax reform. JEL Classification: F32, F38

Keywords: FDI; flows reversal; Multinationals; Special Purpose Entity (search for similar items in EconPapers)
Date: 2019-08
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Persistent link: https://EconPapers.repec.org/RePEc:ecb:ecbbox:2019:0009:3

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