The 2011 Foreign Private Capital (FPC) and Investor Perceptions (IPs) survey report presents major findings of enterprises that have foreign assets and/or liabilities. It also gives perceptions of both foreign and domestic investors on various factors that impact on investment. This is the fifth survey of its kind to be done in Malawi since 2001 and collected data for 2009 and 2010. The information collected covered the magnitude, nature, composition and direction of foreign private capital flows and stocks, which are a good source of data used for compilation of the Balance of Payments (BOP) and International Investment Position (IIP) statements used for decision making and formulation of macroeconomic management and investment policies. Within the global context the report provides an investment outlook of opportunities and challenges such as the Eurozone crisis.
The survey findings revealed that the outstanding stock of total foreign private liabilities in 2010 increased by 24.1 percent from US$1,114.3 million recorded as at end 2009. The growth in stocks was mainly on account of net inflows of other foreign investment from unrelated firms totaling US$136.0 million and Foreign Direct Investment (FDI) amounting to US$97.0 million. While other foreign investment was predominated by payables on other accounts, FDI was predominated by reinvested earnings. The highest share of FDI inflows came from Kuwait (36.2 percent of total FDI inflows), followed by Singapore (14.1 percent), South Africa (9.9 percent), Mauritius (9.8 percent) and Portugal (8.6 percent). The results indicate that the wholesale and retail trade sector was the highest recipient of FDI inflows in 2010 (US$72.0 million) most of which was debt financed. The information and communication sector also registered large investment inflows, with the stock of FDI increasing by 63.0 percent largely due to reinvested earnings. For more information, download the report below.
Foreign Private Capital & Investor Perceptions Survey 2009