Nearly 90% of investors said Europe has become a more attractive investment destination over the last five years, according to Invest Europe’s Global Investment Decision Makers Survey 2018, which the association presents at a high-level European Commission conference.
Following last year’s inaugural survey, global investors still rank Europe above China and the USA for its highly skilled workforce, transport infrastructure and regulatory climate. They now perceive Europe to have moved ahead of the USA as the leader on innovation and entrepreneurship, taxation levels and access to global markets. However, Europe lags the USA on IT infrastructure and level of economic growth. Almost eight out of ten investors (78%) expect increased investment in Europe over the next five years, as they become more positive on investing in both the EU and the UK post-Brexit.
Nine out of ten investors from the USA and China (both 91%) view Europe as more attractive than five years ago, up from approximately seven out of ten in last year’s survey (71% and 78% respectively). Around two in five investors from China (38%) say their view of Europe has improved because of a decline in the USA’s attractiveness, more than the 25% of respondents overall who said the same.
A clear majority of investors (82%) — especially those in China (97%) — state that a stable regulatory environment is important when making investment decisions, with 47% of investors rating Europe as a top performer on regulatory climate compared with the USA (32%) and China (22%). European policymakers can ensure the continent’s continued attractiveness by launching new investment incentives, investing in innovation and reviewing competition policy.
Global investors are most likely to consider Europe a global leader in finance and insurance, energy and the environment, and biotech and healthcare, while those from China see Europe as a global leader in most of the sectors tested.
However, investor confidence in Europe’s political stability fell from 50% to 40% year-on-year, while social stability dropped from 50% to 39%. Europe’s perceived commitment to sustainability and the environment — an important issue for 80% of investors — has also declined, from 74% to 50%.
Press release
Full report
© Invest Europe (formerly EVCA)
Key
Hover over the blue highlighted
text to view the acronym meaning
Hover
over these icons for more information
Comments:
No Comments for this Article