Best Countries To Invest In 2020
As 2020 unfolds, every business mind is boggled by one question “Where to Invest?”. As an investor, you should care a lot about economical and political stability when choosing where to invest your money in.
The current COVID-19 pandemic has caused great worry for many investors. And they are right to be The Congressional Research Service claims that the pandemic could trim down global economic growth by 2%. Even JP Morgan predicted that there is a 60% chance that a recession will occur in 2020. And thus, the answer to “Where to invest?” has never been more uncertain.
The truth is that not every country will be affected if a global recession occurs. Some countries are very fortified to withstand an economic crash. They have a lot of internal growth drivers with minimal affiliation with global markets. They will be the least affected. The best countries to invest in 2020 are these fortified countries.
According to the World Bank Group, four unique factors motivate an individual or a business entity to invest in a country. These are the country’s natural resources, markets, efficiency, and strategic assets (like its technologies and brands).
Using this four categorical determinants, we have compiled The 2020 Best Countries to Invest In ranking based on a broad list of ten equally weighted attributes: corruption index, tax environment, economical stability, entrepreneurial freedom, innovativeness, skilled labor force and technological expertise, infrastructure, investor protection, red tape, and quality of life.
Here’s the ranking of the 10 best countries to invest in 2020.
1. Croatia
Croatia is currently No.1 on the list of the best countries to invest in. The country’s growth is amazing because just last year, it was ranked 25 positions lower. The European country’s stable economy, coupled with her entrepreneurial and innovative population, has made foreign investors very optimistic about her progressive business environment. In the first quarter of 2019, Croatia had a whooping foreign direct investment of more than $389 million!
2. Thailand
Thailand occupies the second position on the 2020 Best Countries to Invest In ranking. The country has capitalized greatly on the trade tension between the US and China. Many investors have gotten fed up with the whole drama. They have now turned their attention towards Thailand. You should too. In the first nine months of 2019, the country received a 69% increase in the total value of Foreign Direct Investment applications, as compared to 2018. 65% of these applications were led by the automotive, electronics and electrical, and digital sectors. The growth of the Thai market and her momentum indicators have remained steady and strong. Forbes listed the country as the 8th best-emerging market of 2020.
3. The United Kingdom
The U.K. is economically stable and has a skilled labor force and technological expertise. According to the U.N., it is the sixth country that attracts the most inflow of foreign direct investment. In the first seven months of 2019, the U.S. and Asian tech firms invested $3.7 billion in tech companies in the country, thus surpassing the $2.9 billion invested in the previous year. Despite Brexit, the U.K remains the fifth largest economy in the world and has an industrialized and competitive market.
4. Indonesia
With about 650 listed equities and a market cap exceeding $500 billion, Indonesia boasts of one of the largest Asian stock markets. Her 260 million inhabitants promise is a very strong consumer market. The Indonesian consumer market is largely undiscovered, hence its huge potentials. This country should be your number one option if you are into manufacturing or consumer products. The robust economy and heavy investment in transportation and infrastructure make this Southeastern Asian country worthy of your investment. The only downside is that non-citizens are limited to only leasehold properties.
5. India
According to the U.N, India was one of the top 10 countries with the highest inflow of foreign direct investment. India has been in the top 5 of the best countries to invest in since 2019. The Asian giant has invested so much in research and development and, and she is among the top countries having a comparatively skilled workforce.
6. Italy
Italy is one of the top countries attracting investors in 2020. It has been on the list since 2002. This level of economical stability, its robust manufacturing sector, and the country’s stable political environment make it a good choice to invest in.
7. Australia
Australia boasts of more than 25 years of continued economic growth. It is the 9th country with the most FDI attraction in 2020. Intact, she has been in the top 10 for ten years now. The country remains a very stable investment destination.
8. Vietnam
Like Thailand, Vietnam has capitalized on the trade tension between China and the United States. Since the past years, the Chinese southern neighbor has gradually risen to become a formidable manufacturing hub. This growth became even more evident when multinational corporations like Samsung began relocating are from China into Vietnam.
We think you should consider this too. The availability of numerous seaports, coupled with the cheap cost of production and tariff breaks, makes Vietnam very business-friendly. Vietnam’s economy is very stable. The country has never had a single recession I’m the last 20 years! But, like Thailand, non-foreigners can only own property in Vietnam on a leasehold agreement. If you want to learn more about real estate for investors, move to Asia has different guides to advise you through.
Join The Discussion