Investment boost
Infrastructure spending on the rise
If you have travelled or lived in an emerging nation, you have probably noticed that infrastructure in these markets tends to lag behind that of developed nations. Local governments in emerging markets have budgeted billions of dollars for improvements to communication networks, roads, ports, electricity and aviation, to name a few. Along with rising domestic consumption, we see public expenditure on infrastructure as a key, long-term investment theme in emerging markets.
Continuous investment in infrastructure has helped to spur economic growth in these emerging nations. This, in turn, has attracted an influx of foreign direct investments (FDI) into these countries. Investment in these markets has averaged around 26% per annum since 2000 (Advanced markets 20.9%)
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FDI in Emerging Markets
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Investment (% of GDP)
Disclaimer
The information contained in this website is intended solely to report on various investment views held by Mirae Asset Global Investments (India). Any statements made regarding investment performance objectives, risk and/or return targets shall not constitute a representation or warranty that such objectives or expectations will be achieved. Opinions, estimates, forecasts and statements of financial market trends that are based on current market conditions constitute a reflection of our judgment and are subject to change without notice. This commentary is for information purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. Past performance is not necessarily indicative of the likely future performance of an investment. Any decision for investments is left to the investors. Investors shall rely on their own judgment to invest or not.