Publications


Business and Economic Update
Issue 02

Greenfield Investment

Investopedia.com defines this as “A form of FDI where a parent company starts a new venture in a foreign country by constructing new operational facilities from the ground up. In addition to building new facilities, most parent companies also create new long-term jobs in the foreign country by hiring new employees. This is opposite to a brown field investment.”

There was a decline in this type of FDIs from 2008 to 2014 levels in China, India, Vietnam and other ASEAN countries. Still, Vietnam, Malaysia and Indonesia are the favorite destinations of greenfield investors in the region. Thailand and the Philippines are getting almost similar amount of FDIs in this area.

Table 5. Value of announced greenfield FDI projects by destination, in billion US$
Value of announced greenfield FDI projects by destination, in billion US$

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