Japan’s Foreign Direct Investment and Trade in Asia

Shujiro Urata

Chapter Chapter Two in Winning in Asia, Japanese Style, 2002, pp 27-57 from Palgrave Macmillan

Abstract: Abstract Developing Asia has successfully attracted foreign direct investment (FDI) since the mid-1980s. FDI inflows to Asia increased sharply from $7 billion in 1986 to $94 billion in 1997.2 Although the recent financial crisis in Asia resulted in a drastic reduction in bank loans and portfolio investment, FDI inflows remained relatively strong, declining by only 7 percent from 1997 to 1998.3 Between 1997 and 1998, FDI inflows to five crisis-hit countries, Indonesia, South Korea, Malaysia, the Philippines, and Thailand, declined by only 2 percent. Compared to other forms of investment, FDI inflows remained relatively stable during that turbulent period. Indeed, FDI inflows to Asia rebounded to register a 10 percent increase in 1999.

Keywords: Foreign Direct Investment; Foreign Firm; Japanese Firm; Asian Economy; Foreign Direct Investment Inflow (search for similar items in EconPapers)
Date: 2002
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Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-137-10926-2_2

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DOI: 10.1007/978-1-137-10926-2_2

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