Core Insights - The United Nations Conference on Trade and Development (UNCTAD) reported a projected 11% decline in global Foreign Direct Investment (FDI) to $1.5 trillion in 2024, marking the second consecutive year of decline [1] - Geopolitical tensions, trade fragmentation, intensified industrial policy competition, and rising financial risks are reshaping the global investment landscape [1] - FDI inflows to developed economies decreased by 22%, with Europe experiencing a significant drop of 58%, while capital inflows to developing countries remained stable but varied by region [1] Investment Trends - The digital economy is the only sector showing investment growth, with FDI increasing by 14%, primarily driven by the information and communication technology (ICT) manufacturing, digital services, and semiconductor industries [2] - Investment in critical areas for achieving Sustainable Development Goals (SDGs), such as renewable energy, transportation, water, and health, has seen declines exceeding 30% [2] - Current investment levels are insufficient to meet global development needs, with developing countries requiring approximately $4 trillion annually to bridge the financing gap for SDGs [2] Recommendations and Agenda - There is a call for increased long-term, inclusive, and sustainable capital investments, particularly in the digital economy, to help reduce global disparities [2] - UNCTAD proposed an agenda focusing on seven priority areas, including enhancing data and AI governance, developing policy tools, and strengthening digital infrastructure to attract more FDI in digital industries to developing economies [2]