Digital FDI

The World Economic Forum conducted a global survey of 310 investment decision-makers to determine the key drivers of 'digital FDI'. The report categorizes these drivers into three pillars: new digital activities, digital adoption by existing firms, and digital infrastructure. Findings indicate that while digital skills are the most critical overall factor, specific priorities vary by pillar, such as data security for new activities and connectivity for infrastructure. The document proposes a four-step country-level project framework—diagnostic, targeted survey, reform recommendations, and implementation—to help governments create digital-friendly investment climates.

• Across all categories of digital investment, the most critical factor for investors is the level of digital skills within an economy, followed by regulatory stability and predictability and the general regulatory framework.
• For investments in new digital activities, investors prioritize legal protections for data and intellectual property, specifically data security regulations, copyright laws, and data privacy regulations.
• Firms deciding to adopt new digital technologies prioritize the availability of e-payment services, support for starting digital businesses, and support for local digital skills development.
• Investment in digital infrastructure is primarily driven by physical connectivity, with international, national, and urban connectivity being the top three physical priorities.
• The most important regulatory factors for digital infrastructure investment are the ease of obtaining licenses, the availability of skilled local engineers, and a tie between the use of international standards and regional coordination for investment.
• The report argues that traditional investment incentives are generally insufficient to attract digital FDI if the broader regulatory framework and investment climate are not welcoming.

APA

Stephenson, M. (2020). Digital FDI. World Economic Forum. http://www3.weforum.org/docs/WEF_Digital_FDI_2020.pdf

Chicago

Stephenson, Matthew. Digital FDI. World Economic Forum, 2020. http://www3.weforum.org/docs/WEF_Digital_FDI_2020.pdf.

Wikipedia

{{cite report |last1=Stephenson |first1=Matthew |title=Digital FDI |publisher=World Economic Forum |date=September 2020 |url=http://www3.weforum.org/docs/WEF_Digital_FDI_2020.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{stephenson2020digital, author = {Stephenson, Matthew}, title = {{Digital FDI}}, institution = {World Economic Forum}, year = {2020}, month = sep, url = {http://www3.weforum.org/docs/WEF_Digital_FDI_2020.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }