Analysis: What UNCTAD’s Findings on Falling New Projects Mean for Developing Countries Seeking Investment

Opinion: A UN report says foreign investment totals are rising while new projects fall, and speakers in Doha point to conditions inside recipient countries as a factor in who attracts capital.


Aerial view of a container port with rows of green gantry cranes along the quayside, stacked containers, cargo ships and tugboats on the water, and a marina and housing on the leftFile photo: Pasir Panjang container terminal in Singapore, seen from the air in 2016. The photo illustrates global trade and investment flows, not the forum in Doha. Photo: Bob Tan / Wikimedia Commons (CC BY-SA 4.0)

This article is an opinion and analysis piece. The facts are attributed to the source named; the “meaning” section is the magazine’s reading of what those facts imply, not new reporting.

Foreign investment is rising while the number of new projects is falling, according to a UN report discussed at the ninth World Investment Forum in Doha, Euronews reported on 26 October. The forum, organised by UN Trade and Development (UNCTAD) and hosted by Qatar, runs from 25 to 27 October. Euronews said the UNCTAD Global Investment Trends Monitor, published on Sunday 25 October, found that larger transactions were helping push up investment totals, while the number of new projects and cross-border deals fell.

What Was Reported

Euronews said announcements of new projects linked to sustainable development in developing countries were estimated to be more than 25 per cent below 2025 levels. It described the figures as preliminary, extrapolated from the first six to nine months of 2026, and gave no overall figure for the rise in investment or the fall in project numbers. It also cited UNCTAD’s World Investment Report 2026 as saying more than 80 per cent of global foreign direct investment went to 20 economies last year.

Speakers in Doha focused on conditions inside recipient countries. UNCTAD spokesperson Marcelo Risi said infrastructure, skills and reliable institutions help explain why some countries attract more investment, and that tax incentives are only one part of the calculation. Mahmoud Mohieldin, the UN special envoy on financing the 2030 Agenda for Sustainable Development, said: “The business environment is key. It’s not enough to have the potential.” He pointed to unpredictable regulation and the need to prepare projects investors can finance. Rwodah Al Naimi, director of investment at the Qatar Fund for Development, said the fund uses guarantees to encourage private investment and co-finances projects, mainly through international development banks, adding: “We don’t go alone.”

A Reading of the Findings

These findings are preliminary and come to us through a news report, so what follows is our interpretation. The reported pattern, with totals up and project counts down, suggests that headline investment figures can say little about how many new factories, plants or services are actually being started. We have not combined the reported project decline with the concentration figure, because the article does not say they are comparable.

In our view, the speakers’ remarks point to a practical lesson for governments in developing economies: attracting capital depends less on promotion than on rules investors can rely on, ready-to-finance projects and the basic infrastructure and skills to support them. That is our reading of what officials said, not a finding of the report.

Why It Matters

Governments and development funders want investment that creates jobs and infrastructure, so a reported fall in new project announcements will be watched closely. Because the numbers are early estimates, full-year data will show whether the trend holds. Until then, the cautious takeaway is that higher totals do not by themselves mean more new projects.


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