Foreign Direct Investment (FDI) is a key driver of economic growth and job creation. In 2023, Canada is expected to attract a record level of FDI, with inflows of up to $500 billion. This investment will help to support the country’s economic recovery from the COVID-19 pandemic and create new jobs in a variety of sectors.
There are several factors that are contributing to the strong outlook for FDI in Canada in 2023. These include:
- A stable and predictable business environment.
- A skilled and educated workforce.
- A strong commitment to innovation.
- Strategic location with access to major markets.
Furthermore, Canada is home to several world-class industries, including natural resources, agriculture, manufacturing, and technology. These industries are attractive to foreign investors because they offer the potential for high returns on investment. Also, the Canadian government is taking steps to attract more FDI. In 2022, the government launched a new FDI strategy that aims to attract $1 trillion in FDI over the next decade. The strategy includes several measures to make Canada more attractive to foreign investors, such as streamlining the investment approval process, providing tax breaks for foreign investment, and promoting Canada’s investment opportunities abroad. However, according to the Canadian FDI 2023 report, “The Canadian government itself has not tended to emphasize or seek to grow FDI, particularly in the Services sector, through incentives. The policy of ensuring a stable immigration process which opens the door to skilled labor from overseas is seen as one of the better arguments for attracting companies.” (Hickey Global).
In addition, the strong outlook for FDI in Canada in 2023 is good news for the country’s economy. FDI will help to support the economic recovery, create new jobs, and boost innovation. These investments will help to make Canada a more prosperous and competitive county in years to come.
Moreover, here are some specific examples of FDI in Canada in 2023:
- In January 2023, South Korean conglomerate Samsung announced that it would invest $1 billion in a new Renewable Energy project in Ontario.
- In February 2023, German automaker Volkswagen announced that it would invest 2.8 billion in a new electrical vehicle plant in Quebec.
These are just a few examples of the many FDI projects that are underway in Canada in 2023. To download your copy of Hickey Global’s Canadian FDI 2023 report, visit the following link.
If you’d like to connect with the Hickey Global team to discuss the FDI report in more detail, fill out the form below, and our Engagement Manager, Elijah Cleary, will be in touch.