FDI can be broken down by certain characteristics which allow for more specific analysis. A distinction is often drawn between Greenfield FDI and other types of FDI transactions (mergers & acquisitions, extension of capital and financial restructuring). The rationale behind drawing this distinction is that the transfer of ownership (merger & acquisition investment) will usually have a significantly different economic impact than the purchase or sale of new shares (greenfield investment), the extension of capital or financial restructuring.
Greenfield FDI can be described as ex nihilo investment: the establishment of a subsidiary “out of nothing”. International standards for the compilation of Greenfield FDI statistics are not yet available; these results should be considered a proxy for Greenfield FDI.1
Table 6.1 and Figure 6.1 display the number of Greenfield FDI projects in Ireland from 2012 to 2017, which have been recorded by the CSO.
| Table 6.1 Number of Greenfield FDI Projects | ||||||
| 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | |
| Number of Projects | 54 | 29 | 40 | 27 | 33 | 23 |
| Greenfield Projects | |
| 2012 | 54 |
| 2013 | 29 |
| 2014 | 40 |
| 2015 | 27 |
| 2016 | 33 |
| 2017 | 23 |
In Figure 6.2 the sum of Greenfield FDI investment is shown between 2012 and 2017. There is a spike in 2015 which coincides with a significant increase in Irish FDI inward.
| Sum of Greenfield Investment | |
| 2012 | 13.25453661793 |
| 2013 | 10.44359522278 |
| 2014 | 18.593444236 |
| 2015 | 26.382513277 |
| 2016 | 7.430572054 |
| 2017 | 11.38062182 |
Figure 6.3 displays the contribution which these projects have made to the overall inward FDI position in Ireland.
| Sum of Greenfield Inward Investment | Non-Greenfield Inward Investment | |
| 2012 | 13.25453661793 | 277.18346338207 |
| 2013 | 10.44359522278 | 290.28940477722 |
| 2014 | 18.593444236 | 335.451555764 |
| 2015 | 26.382513277 | 791.197486723 |
| 2016 | 7.430572054 | 790.090427946 |
| 2017 | 11.38062182 | 733.00537818 |
| Table 6.2 Greenfield Investment in FDI | % | |||||
| 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | |
| % of Greenfield Investment in the FDI | 4.6 | 3.5 | 5.3 | 3.2 | 0.9 | 1.5 |
1These results were obtained by dividing FDI according to the date which it entered the CSO database.
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