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  • foreign direct investment is when a company or person puts money into a business in another country and actually owns or controls part of it.

    like toyota building a factory in the u.s. or an american company buying a major stake in a company overseas.

    for countries, it can mean jobs, factories, technology, and new money coming in.

    the catch is that too much dependence on foreign investors can also mean profits, influence, and important decisions leave the country just as easily as the money came in.