CIAO DATE: 03/2015
June 2014
Columbia Center on Sustainable Investment
FDI is now the largest external liability in developing countries and is being paid through outflows of FDI income, or profits of foreign companies. These profits have grown to a point in which they may play an important role in a potential balance of payments crisis.
Resource link: The rise of FDI income, and what it means for the balance of payments of developing countries [PDF] - 157K