Korean businesses manage to make biggest overseas direct investment

Throughout this year, Korean businesses and investors in the foreign market have managed to make the largest foreign direct investment, according to data. This is a blunt contrast to the diminishing foreign direct investment in the Korean market.

On Friday, the Ministry of Economy and Finance publicized how the volume of Koreans’ foreign direct investment in foreign nations rose by 13.3% to reach $15.1 billion year-on-year in the Q2 of 2019, resulting in the greatest recorded figure since 1980 when these data were first acquired. In the Q1 of this year, the figure was a record $14.11 billion, from which the second quarter’s volume increased by 6.3% to reach another record figure.

Ever since 2018’s Q2, the foreign direct investment by Koreans in other nations has bounced right back. Between 2017’s Q4 and 2018’s Q1, the investment volume noted a negative year-on-year growth. It then started increasing by 20 to 30% on quarterly basis since 2018’s Q2.

According to an analysis by the Hyundai Research Institute, Korean businesses are focusing more on other nations from the local market due to the stiff labor market, regulation stresses and inefficient regulation reforms.

Investments to the United States increased 14.7% from the same period of the previous year, to reach $3.2 billion. This was due to the raised number of large-scale M&A agreements by Korean companies intended to widen their network of sales. Relative to the previous year, Korea’s Investments to China surged 123.7%, to $2.01 billion, as local dealers ramped up the manufacturing of semiconductors and electronics equipment. On the other hand, Korea’s investment in the Cayman Islands fell by 25.8% to reach $2.41 billion year-on-year.

Investment in the real estate sector fell 2.1% to reach $1.38 billion.

 

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Shreyas Tanna

Shreyas Tanna

The winner of the title Mr. Pune 2009, Mr. Shreyas Tanna is currently the young, dashing, and dynamic CEO of a market research company called ResearchNReports in Pune. Fondly known as RNR, the company specializes in market research as well as industry analysis, and is closely associated with its parent company Absolute Market Insights (AMI). Mr. Shreyas Tanna began his corporate journey as the Head of Corporate sales & PR at RED Entertainment while pursuing his degree for MMS (Marketing) from the MGM College of Management, Mumbai. After accomplishing the tedious task of balancing his work and education, he further polished his skills in Corporate Sales, Public Relations, Channel Development, Global Client Engagement, Strategic Consulting, and Brand Development by working with HDFC Life and Researchmoz Global Pvt. Ltd. His dedication towards his work has even won him accolades such as the National Level Performer 2013 – HDFC Life and Mr. Research Moz 2015. A disciplined individual with a loving heart, he is often seen taking crisp walks with an engrossed look and a gentle smile within the premises of his company to interact with the various departments. And he will be usually followed by an adorable trail of his beloved trio of Shih Tzu babies proudly known as Gucci, Drake, and Paris. The most enticing thing that you will notice about this content and proud pet parent is his infectious positivity and the firm belief in his eyes, a reflection of his favorite quote, “LIFE IS BEAUTIFUL!”