European Investment Flows To Latin America

Eurpean FDI patterns in Latin America reveal various peculiarities, compared with FDI from other sources in Latin America. These peculiarities have important implications for the EU and Latin American host countries. A major conclusion is that past FDI in Latin America is highly unlikely to have added to labor market problems. Concerns should rather be that some large European investors (in particular Germany) have made less use of new investment opportunities in Latin America than other South European or other foreign competitors. This may notonly impede closer investment relations with Latin America in the future.