London is the western European international financial centre (IFC) that received the largest amount of foreign direct investment (FDI) in the 12 months to the end of May 2015: a total of $915.1m, according to estimates by database fDi Intelligence.
Second placed Madrid’s $274.9m is less than one-third the value of investment that flowed to the UK capital. However, this sum is still significant considering Spain’s economic struggles, and it puts the country's capital city ahead of some of western Europe's more esteemed IFCs by this measure. Paris, for example, is in fourth place with $196.7m, while Frankfurt does not make the top 10 – the German city attracted only $93.5m during the period in question.
Dublin and Milan are two other IFCs in the top 10 from countries that have experienced economic struggles in the post-crisis landscape. Totals of $175.5m and $134.8m, respectively, were invested in the Irish and Italian cities. No other IFCs from the eurozone's more troubled countries appear in the top 10, however, with northern European cities largely dominating.
The majority of FDI flows into western Europe originate from within the region. While the table of top investors into western Europe is led by New York, which directed $492.5m to western European hubs, the majority of funds came from other European IFCs, $1.5bn out of a total of $2.4bn.
London is back in the lead in the outward FDI table too, with a total of $2.23bn. It is followed by Paris, with $1.12bn. Singapore, Shanghai and Sydney were the most popular destinations for western European financial services FDI. Singapore received a total of $304.8m; a similar amount went to Shanghai ($303.8m); while Sydney received $243.6m.
