Mena Summit 2021
The Foreign Direct Investment Summit (FDI) – WBAF 2021 will seek practical ways to develop a dialogue between FDI ecosystems and startup ecosystems to empower local economies through co-investment and to develop innovative financial policies that will enhance the capabilities of FDI and startup investors. It will also explore ways to encourage the FDI ecosystem to engage with the startup economy and ways to create a global awareness about the benefits of collaboration between the world’s FDI economies and startup economies.
In 2018, the estimated global Foreign Direct Investment (FDI) flows were $1.3 trillion, which is a 13% decline over the previous year. This is the third consecutive drop in FDI flows and the lowest level since the 2008 global financial crisis. The FDI slide is concentrated mainly in developed economies, which experienced a staggering 40% decline in FDI inflows.
By contrast, new types of investment – angel investment, venture capital (VC), corporate venture capital (CVC), sovereign wealth funds (SWF), family offices, and impact investments – offer new opportunities for countries to boost their development. VC and CVC investments in new companies with high growth potential are at record high levels, despite negative global FDI trends. An analysis of global venture funding by KPMG reveals a six-year growth in VC investments, reaching $254 billion in 2018. Additionally, CVC investments reached an all-time high, with corporations participating in 20% of all VC deals in 2018.
The digital revolution has had a profound impact on the overall global economy. Recent statistics show that half of the world’s population is online, and the internet industry has made a significant contribution to countries’ GDP. The agenda of the G20 leaders reveals that financial technologies will play a key role in increasing financial inclusion globally. The numbers confirm this. For example, worldwide investments in fintech jumped to $111.8 billion in 2018, a staggering 120% over the 2017 figure of $50.8 billion.
‘’We need to develop innovative financial policies that will enhance the capabilities of FDI and startup investors. We need to explore ways to encourage the FDI ecosystem to engage with the startup economy and ways to create a global awareness about the benefits of collaboration between the world’s FDI economies and startup economies’’
Angel investment is booming worldwide
Early and post-early stage equity markets are developing rapidly as well. In 2019, 320,000 angel investors invested more than 10 billion EUR in Europe; in the US, 340,000 angel investors invested more than 26 billion USD. The size of the global investment in early-stage businesses in 2019 reached $60 billion, up 20% from $50 billion in 2018. The $60 billion market for angel investment promises a $150 billion exit in the next 5 to 7 years.
OECD reports show that more than 96% of the world’s economy is driven by SMEs, entrepreneurs and startups. Many governments have understood the importance of the early-stage investment market in the creation of new jobs and social justice in their countries and have therefore implemented new regulations that provide tax incentives for angel investors, corporate ventures and startups.
Why is angel investment so important?
The reason is simple: only angel investors have the know-how and the networks to put startups and scaleups into the capital markets. If we can create an innovative financial plan for early exits, this will mean more jobs and social justice in a shorter period of time.
WBAF invites you to join our global effort to ease access to smart finance.
As a global organisation, the World Business Angels Investment Forum brings together key players of the equity market to discuss the benefits of and the challenges to the investment community’s achieving successful growth for their businesses and to discuss what more can be done to facilitate the democratization of finance by expanding access to and participation in every level of society.
We invite you to join us in our global effort to ease access to smart finance, which will help create more jobs and more social justice worldwide. Your efforts to convert the world economy into a smart economy in cooperation with the World Business Angels Investment Forum are very important.
By working together across borders, with a common vision, and with these smart dynamics in mind, we are well placed to create positive change in the global economy. We are sure you will find World Congress of the World Business Angels Investment Forum a rewarding experience!
Panel 1: Leveraging the competitive advantages of investment promotion agencies and economic development boards in global startup value chain
Panel 2: Foreign direct investment in SMEs from startup to scaleup to exit to boost cross-border investments: How can startups and scaleups contribute to FDI growth?
Panel 3: New role for IPAs: Connecting local startups with global investment markets, easing access to smart finance, and increasing a country’s FDI
Panel 4: Leading and driving the FDI process for startup businesses: A step-by-step road map for investment promotion agencies and economic development boards
By working together across borders, with a common vision, and with these smart dynamics in mind, we are well placed to bring about positive change in the global economy
Join the World Leaders Programme, Apply for the Global Fundraising Stage, Become an investor of the WBAF Angel Investment Fund, Learn more about WBAF Business School Programmes, Request mentoring, Become an accredited mentor, Become a WBAF Speaker, Become faculty member of the WBAF Business School, Become a WBAF Institutional Member