Annual foreign direct investment (FDI) outflows from developing countries have grown faster over the past 15 years than those from developed countries, the United Nations officials said Tuesday.

FDI from developing countries to other developing countries seemed to be growing faster than that from developing countries todeveloped countries, said Erica Meltzer, spokeswoman of the UnitedNations Conference on Trade and Development (UNCTAD).

Some of the world's largest transnational companies were from developing countries, said Meltzer.

The statistics, from the World Investment Report 2004 to be released by UNCTAC in September, suggest the possible emergence ofa new geography of international investment relations.

Firms from some developing economies already have an established track record as outward investors, and others have become players relatively recently while still others, such as firms in China, Brazil and India, are about to take off, accordingto the UN agency.

Though some developing economies are now large investors by international standards, not all developing regions participate equally in this emerging constellation, it said.

Asia was by far the largest outward investor in the developing world, followed by Latin America, it said.

In recent years, FDI from both Africa and Asia has been rising while outflow from Latin America and the Caribbean have stagnated,according to the report.

Overall, however, UNCTAD is predicting that the share of developing countries in outward FDI can be expected to rise as firms in developing countries become more competitive and their government permit or even encourage outward FDI.

Source: Xinhua