United Nations conference on Trade and Development – UNCTAD said in a recent report that Bangladesh receive Greenfield investment projects worth $376 million which was 59% drop from 2021 though it was showing a reliable indicator of future foreign investment. The report from UNCTAD also said that international project finance deals announced in 2022 fell drastically, by 97% to $117 million. 93% fallen on the number of project finance, from 14 deals in 2021 to 1 deal in 2022. Globally it showed a negative growth at the rate of 55% over the same period on 2021.
This recently released report highlighted the impact of ongoing global crises was evident across all types of investment flows. For the least developed country (LDCs), it should be a major concern as Greenfield investments and project finance deals are important for developing productivity capacity and essential infrastructures. FDI flows to LDCs showed a decline of about 30% from the earlier year.
Due to global crises, food mishaps, energy crises, financial distress and debt-blunders made this flows negative. However, some of the LDCs countries are now diversifying their sectors of production.