Foreign Direct Investment in Latin America and the Caribbean, 2026: navigating the new global context. Executive summary

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in La Inversión Extranjera Directa en América Latina y el Caribe from Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL)

Abstract: The Economic Commission for Latin America and the Caribbean (ECLAC) presents the 2026 edition of Foreign Direct Investment in Latin America and the Caribbean against an international backdrop of rising uncertainty and geopolitical rivalry that is affecting trade and foreign direct investment (FDI). The scale and duration of these effects are yet unclear and add to existing structural challenges, increasing the need to align efforts to attract FDI with the region’s productive development policies. The first chapter presents an analysis of FDI patterns in 2025 in areas such as capital inflows and outflows, sectoral distribution, origin, mergers and acquisitions, and investment announcements. The second examines the links between trade and FDI, with a focus on the potential implications for the region in light of recent changes in United States tariff policy. The report sets out policy options to help the Latin America and the Caribbean adopt a strategic approach to FDI and productive development that will enable it to navigate the new global context.

Date: 2026 Written 2026-06-23
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Persistent link: https://EconPapers.repec.org/RePEc:ecr:col007:90155

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