France records 21 Investment Decisions per week in 2016

The highest record since 10 years

• 380 companies from the Middle East operate in France 

United Arab Emirates, March 27, 2017:  Business France, the national agency supporting the international development of the French economy just released 2016 Annual Report of Foreign Investment in France, enlightening the results of foreign investment decisions in France and their contribution to the French economy.

In 2016, 1 117 investment decisions created or maintained 30 108 jobs (962 decisions and 33 682 jobs in 2015). With an average of 21 decisions made every week, 2016 saw a 16% increase which sets a record since 10 years.

From the Middle East, eleven new investment projects were recorded creating or maintaining nearly a hundred jobs. France is counting 380 companies from the Middle East operating in France, where they employ more than 24,000 people.

34% percent of Middle East investments in 2016 came from the United Arab Emirates, while Lebanon and Qatar each accounted for 18%. More than half (55%) of these projects involved decision-making centers (first-time investments), while there were also investments in business services and consumer services.
In 2016, investments by Middle Eastern companies were made in a variety of sectors, including Software and IT services, Hospitality, Transport and Agri-food.
Marc CAGNARD, Middle East Director at Business France stated: “In 2016, 36% of Middle East investments in France were made in Ile de France, Paris region. On the eleven investment decisions we listed from the Middle East, the main investor remains the UAE followed by Lebanon and Qatar. 

These results do not include the significant financial flows invested by Gulf Sovereign Wealth Funds which have been investing traditionally in France”.
“Among Middle Eastern companies operating from France, 59 are listed in the Forbes 2000 annual ranking”, Cagnard Added.

More generally, France remains a leading destination for investors, EU countries were top investors in France (60% of total investments), followed by North American (20%) and Asian countries (unchanged at 12%, with Japan in the lead). 

German companies were the leading investors in France for the first time (17% vs. 15% in 2015), with main investments in the field of industry.  American companies follow and amount to 25% of R&D activities.  Italian investments amount to 13% of investments and are focused on the industry.  Japan is leading investor among Asian countries. 

Germany and Italy remain the most active countries among foreign investors with respective increases of 35% and 68% in investment projects compared to 2015, and together amounting to one-third of foreign investment in 2016. 

France remains the preferred European export hub thanks to its key geographical location and excellent transport infrastructure.  The majority of foreign companies (80%) have expressed a distinct preference for France as an export platform (Source: Kantar Public).