Foreign direct investment (FDI) flowing into Poland hit a record high of €23.6 billion in 2021, the latest Polish Economic Institute’s (PIE) report has revealed.
The previous highest recorded inflow of investments into Poland was worth €18.9 billion, which was achieved back in 2007.
The analysis shows that Poland received the fourteenth-highest foreign investment of any country in the world and was third in the European Union, behind only Germany and Sweden. FDI inflows to Poland increased by 82 percent in 2021 and compared to 2019, before the pandemic, by 86 percent.
“According to OECD data, FDI inflows in the world grew by 57 percent,” the report read. “In 2021, it grew by 17 percent compared to the pre-pandemic level. The most important directions are the U.S., China, Canada, and Brazil,” it added.
The PIE report also noted that, according to an FDI Markets report, that foreign investors helped to create 339,000 jobs between 2019 and 2021, mostly in Europe, which was responsible for 19 percent of all jobs created by FDI in the region. A number of greenfield investment, which refers to creating new economic projects such as factories or energy plants, increased by 11 percent to a total of 423. It is the sixth-highest score in the world and the fourth-highest in Europe.
“Record high results for Poland in 2021 prove that Poland was benefiting from the global trend to shorten supply chains due to the pandemics and USA-China trade conflict,” the PIE report stated.
“Previously, the PAIH (Polish Investment and Trade Agency) reported on the record high results of 2021. With this agency’s support, Poland received investments of €3.5 billion, the most in its history,” it added.
The report also indicated that Polish direct investments (PIB) collapsed — their outflow is ten times lower than in 2019 and six times lower compared to 2020.