Foreign direct investment (FDI) in Mexico fell 11.7 percent in 2020, reaching 29.079 billion U.S. dollars, due to the novel coronavirus (COVID-19) pandemic, the Economy Ministry said on Thursday.
According to the ministry’s preliminary estimates, last year’s FDI fell short of the 32.921 billion U.S. dollars the country received in 2019.
The United States accounted for most of Mexico’s FDI flows in 2020, contributing 39.1 percent of the total, followed by Canada (14.5 percent), Spain (13.7 percent), Japan (4.2 percent) and Germany (3.5 percent). Other countries contributed the remaining 25 percent.
“Compared to the rest of the world, Mexico performed better at attracting FDI in the most adverse year in recent economic history,” the ministry said in a statement.
According to the United Nations Conference on Trade and Development (UNCTAD), global FDI flows plunged 42 percent in 2020 year on year, the ministry noted in an earlier report.
Mexico’s economy, the second largest in Latin America after Brazil, contracted 8.3 percent in 2020, its worst performance since the 1930s, as a result of the pandemic.