The World Investment Report 2010 was officially launched at the seat of the Board of Investment (BOI) on 22 July 2010. Since 2004, BOI has partnered with UNCTAD to launch this report annually. The hosting of this event was indeed exceptional since the report was launched simultaneously across the world.

The World Investment Report 2010 is composed of two themes:

• Foreign direct investment (FDI) and climate change: A review of how developing countries can promote FDI in low-carbon sectors and benefit from it.

• The transnational corporation (TNCs) development paradigm: A study of the changing operations of TNCs and how these altered practices affect development.

This report shows a promising investment outlook in the face of fragile global financial and economic recovery. Following downturns in 2008 and 2009, global flows are expected to recover slightly this year, with stronger recovery in the next two years.

In the African continent, FDI flows fell by 19% in 2009 to $59 billion mainly due to a contraction in demand and falling commodities prices. Southern Africa remained the largest recipient of the region. The contraction of African FDI was lower in investments for the services sector, which improves the position of Mauritius as the services gateway to Africa. In 2010, the report notes that continued interest from the Asian economies and rising commodities prices should help increase FDI into Africa.

Intra-regional FDI within Africa is also increasing with South Africa holding 22% of its outward stocks in other African nations. Mauritius can play an important role for structuring these investments. Mauritius is cited to have successfully attracted FDI in information technology based on its declared policy of turning the country into a ‘cyber island’. The report also highlights the sectors that have suffered the least in attracting FDI. Agribusiness or pharmaceuticals that are non-cyclical or fast-growing have shown resilience and are expected to grow in 2010.