DIA falls again in 2002 - USA and UK alone experience 54% of decline but China becomes biggest recipient in world - The UNCED (the United Nations Conference on Environment and Development) has presented its new annual report on investment in the world ("World Investment Report 2003 " 303 pp.), which provides the most recent statistics on Direct Investment from Abroad (DIA) in the different areas of the world in 2002. The report indicates that the total amount of investment abroad (figures for incoming DIA) was US 651.2 bn in 2002, falling by 21% compared to 2001 (USD 823.8 bn) and by 50% compared to 2000, a record year (USD 1.3 trillion). This new fall is almost general since out of 195 countries last year, 108 recorded figures that were less than in 2001. Despite this fall, the flows to developed countries remained, in 2002, higher than the average for 1996-1999. Investment abroad (DIA outgoing flows) were USD 647 bn and also fell in 73 out of 151 countries. The cause for this depletion of DIA flows in 2001-2002 is a combined macro-economic explanation (slow growth and economic sluggishness linked to the business cycle in a number of areas in the world, particularly in the developed world, the collapse of the stock markets), micro-economic (low company profits, financial restructuring) and institutional (end of privatisation process, loss of confidence due to financial scandals and disappearance of a number of big companies). Incoming DIA: on the geographical level, a small number of countries are taking most of the losses. In the developed world this is concentrated in the USA (USD 30 bn of DIA received in 2002) and in the United Kingdom (25 bn), which means that these two countries account for 54% of the losses recorded in the 108 countries where losses were recorded. In the developing world, the fall was most sharp in Africa (41%), as well as in Latin America and the Caribbean (33%). Asian and Pacific countries only experienced minimal losses due to China, which became the largest DIB recipient in the world (USD 53 bn received in DIA). In the EU incoming DIA fell by 4%, partly because of the worsening economic situation and the fall in international mergers and acquisitions. Mina beneficiaries were Luxembourg, France and Germany. Volume grew especially in Finland, Germany, Ireland and Luxembourg. In other countries in western Europe, decreases were experienced in Norway and Iceland but increased in Switzerland. In Japan incoming DIA increased by 50%, mainly because of the acquisition of Japanese financial companies. Outgoing DIA: in developing countries this fell by 9% between 2001 and 2002 from USD 661 bn to 600 bn. Japan is at the head of the largest investors, replacing Germany, which has fallen to fifth place after Luxembourg, France, the USA and the United Kingdom. Outgoing DIA increased from eight developed countries - biggest rises: Norway, Sweden and Austria. Outflowing from the USA also increased by around 15% but this rise is concentrated in developed countries to the detriment of developing countries, particularly Latin America. European companies are investing more and more in central and eastern Europe, as well as in China.