FDI in figures

In its annual World Investment Report, the United Nations Conference on Trade and Development (UNCTAD) puts Belgium ahead of emerging economies like China, India and Russia, as well as established powers such as Canada and Hong Kong.

With regard to investment outflow, Belgium is amongst the top 15 countries in the world. In the past years, Belgium has attracted more and more FDI every year.  Nevertheless, because of its heavy dependance on European Union countries, and especially because of the effects of the 2008-2009 financial crisis, this trend is reversing itself.

Belgium's strong points are its geographic location, at the crossroads of the main European markets, a multilingual and qualified workforce and a strong purchasing power.

Why you should choose to invest in Belgium

Strong points

Belgium's strong points are:
- A highly educated, productive, multilingual and flexible workforce;
- Quality business infrastructures;
- The country's strategic location at the center of Europe;
- A tradition openness to international trade; and
- Good quality of life.

Weak points

Belgium's weak points are:
- High cost of salaries;
- A damaged financial system.

Government measures to motivate or restrict FDI

The Belgian government recently introduced the notional interest. This is a new and innovative measure in the field of international tax law, by which all companies subject to Belgian corporate tax will be able to deduct from their taxable income an amount equal to the interest they would have paid on their capital in the case of long-term debt financing. In addition, the 0.5% registration fee on capital contributions has been abolished. For more information on the notional interest and investing in Belgium, please go to Invest in Belgium.

With regard to the financial crisis, the outcome from the authorities was quick, with the hardening of lending conditions on the inter-banking market.  Nevertheless, the Belgian government will develop and implement withdrawal strategies later, aimed at avoiding having the state hold a long-term stake in the creation.

Bilateral investment conventions signed by Belgium

 

Procedures relative to foreign investment

Freedom of establishment

Belgium has in place policies to facilitate the free flow of financial resources. Credit is allocated at market rates and is available sufficiently to foreign and domestic investors without discrimination. Belgium is fully served by the international banking community and is implementing all relevant EU financial directives.

In 2006 104 different banks were represented in Belgium; 54 Belgian or foreign-owned institutions are incorporated under Belgian law, and 50 institutions are incorporated under foreign law.

Acquisition of holdings

Legal.

Obligation to declare

Direct foreign investments are not submitted to a preliminary authorization, but in some activity sectors, the investor has to ask for an authorization from the government: banks, insurances, food products production or sale, retail trade.

Competent organization for the declaration

Finding assistance for further information

Investment aid agency

Invest in Belgium.

Other useful resources

OECD