Foreign Direct Investment in Portugal
Banco de Portugal
Supplement to the Statistical Bulletin
December 1998
FOREIGN DIRECT INVESTMENT IN PORTUGAL:
FLOWS AND STOCKS STATISTICS FOR THE YEAR 1996
AND ESTIMATE ON STOCKS FOR 1997
SUMMARY ...............................................................................................................
3
1 - INTRODUCTION ........................................................................................
5
2 - METHODOLOGICAL FRAMEWORK .....................................................
5
3 - METHODOLOGY ADOPTED IN THE QUESTIONNAIRE
ON FOREIGN DIRECT INVESTMENT IN PORTUGAL (QFDI) .........
7
4 - RESULTS .....................................................................................................
8
4.1 - Stocks statistics of foreign direct investment in Portugal ...........
9
4.2 - Flows statistics .................................................................................. 12
4.2.1 - Foreign direct investment in Portugal ............................. 12
4.2.1.1 - Reinvested earnings ......................................... 12
4.2.1.2 - Other foreign direct investment flows
in Portugal ......................................................... 14
4.2.2 - Income on foreign direct investment in Portugal .......... 14
5 - STATISTICS TO BE PRODUCED ON THE BASIS OF THE RESULTS
OF THE QFDI ............................................................................................. 15
STATISTICAL ANNEX ....................................................................................... 17
Supplements to the Statistical Bulletin ..................................................... 41
Statistics Department
Number 2 / 98
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
1
Foreign Direct Investment in Portugal
FOREIGN DIRECT INVESTMENT IN PORTUGAL:
FLOWS AND STOCKS STATISTICS FOR THE YEAR 1996
AND ESTIMATE ON STOCKS FOR 1997
SUMMARY
With the purpose of filling an important gap in the field of stocks statistics on external assets and liabilities, while complying with the recommendations of International
Organisations, the Banco de Portugal launched in May 1997, a Questionnaire on Foreign
Direct Investment in Portugal (QFDI).
Taking as a basis the results of the Questionnaire it is possible to draft the production of
the following statistics:
1 – Components of Foreign Direct Investment (FDI) stocks and flows statistics;
2 – Foreign Affiliated Trade Statistics (FATS)
3 – Foreign direct investment income statistics.
From the results of the Questionnaire, the following should be highlighted:
At the end of 1996, the stock of foreign direct investment in Portugal amounted to
2.9 trillion escudos. Compared with a year earlier (1995), this result reflects a 236.8 billion
escudos increase in the stock of assets held by non-residents in Portugal.
Reinvested earnings in direct investment companies by the respective non-resident
investors amounted to 101.5 billion escudos in 1996. This figure tripled the one for 1993
(30.6 billion escudos).
According to the results, foreign direct investment flows in Portugal in 1996 amounted
to 231.5 billion escudos, in net terms. Excluding reinvested earnings, the comparison exercise with the figure registered on the Portuguese balance of payments in 1996 (109.1 billion
escudos) points to an improvement in the degree of coverage of foreign direct investment
in Portuguese companies; an additional net investment flow of approximately 20.9 billion
escudos having also been identified.
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
3
Foreign Direct Investment in Portugal
1. INTRODUCTION
With the purpose of filling an important gap in the
field of stocks statistics on external assets and liabilities, while complying with the recommendations of
International Organisations, namely those defined
in July 1996 by the Governing Council of the European Monetary Institute (EMI) in the “Implementation Package: Statistical Requirements for Stage
Three of Monetary Union”, the Banco de Portugal
launched in May 1997, a Questionnaire on Foreign
Direct Investment in Portugal (QFDI).
Among the requirements laid down in the “Implementation Package”, mention should be made of the
need to make available, up to the start of Stage Three
of Economic and Monetary Union, end-of-period
statistics on the international investment position
(IIP) of the several types of external assets and liabilities (stocks).
The production of IIP statistics is also a requirement
of the International Monetary Fund (IMF). The IMF
has laid down a set of recommendations on the collection and compilation methods, which are published in the 5th edition of the Balance of Payments
Manual (BPM5).
In addition to the production of stocks statistics, the
other purposes of the QFDI include the improvement
of quality of the statistics produced in the field of
the balance of payments, namely by achieving a more
extensive statistical coverage of reinvested earnings
in the capital of foreign direct investment companies, which have an impact on the financial flows of
direct investment and on the respective investment
income component.
Indeed, with respect to reinvested earnings, the current collection and compilation system of information on external operations presents a coverage problem resulting from the characteristics of this type of
operations. The statistical collection system based on
cash payments does not capture the phenomenon3 ,
since it does not involve a bank settlement between
a resident and a non-resident, nor does it give rise to
the opening of a current account between them. This
is the reason why the international recommendations
in this field also point to the utilisation of direct surveys to the companies involved in foreign direct investment operations as a way of assessing reinvested
earnings.
2. METHODOLOGICAL FRAMEWORK
Stocks statistics in the field of direct investment have
also been requested jointly by the OECD1 and the
EUROSTAT, having been prepared a set of common
questionnaires for the compilation of this information from the member countries.
According to the methodological recommendations
of International Organisations, the best method to
assess the change in one country’s external position
is to survey directly the resident economic agents.
The Questionnaire on Foreign Direct Investment
gives a response to these requirements, having been
made to resident companies in Portugal participated
by foreign capital. The main purpose of the QFDI is
to assess data on the stocks of foreign direct investment in Portugal at the end of 19962 .
(1)
The 3rd edition of the “OECD Benchmark Definition of Foreign
Direct Investment”, which is fully consistent with the BPM5,
systematises the operational procedures for the compilation
of direct investment statistics in compliance with the
requirements established at international level. On these
grounds, this publication, from a methodological point of
view, is an important source of practical solutions for direct
investment issues.
International investment position (IIP)
Statistics on the international investment position
(IIP), together with balance of payments statistics,
constitute the external accounts of a given economy.
Stocks statistics on one country’s external financial
assets and liabilities set at the end of a certain period
of time, usually a calendar year, are produced within
the framework of the IIP, while the balance of payments aggregates all economic transactions (flows)
carried out between one country and the rest of the
world during that period of time.
(2)
On the assets side, the value of the Portuguese direct
investment abroad stock at the end of 1997 will be derived
from the Questionnaire on Portuguese Direct Investment
Abroad (QPDI), launched at the end of May 1998.
(3)
Note that reinvested earnings are one of the major sources of
statistical discrepancies in the field of the current account of
the balance of payments at the world level (aggregation of
the external balances of payments of 161 countries).
According to the Annual Report of the IMF Committee on
Balance of Payments Statistics, reinvested earnings recorded
a USD 63.6 billion surplus in 1996. This figure is due, on the
one hand, to the utilisation of different methodological
concepts and, on the other, to the recourse to other statistical
compilation methods within the several national contexts.
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
5
Foreign Direct Investment in Portugal
Direct investment relationship
Direct investment represents one of the IIP components and is broken down into Assets (Portuguese
investment abroad) and Liabilities (foreign investment in Portugal). The other IIP categories are:
(i) portfolio investment, (ii) financial derivatives,
(iii) other investment and (iv) reserve assets.
The concept of “direct investment” includes both
participation on the equity capital of companies and
all other forms involving the creation of assets and
liabilities between the investor and the direct investment company (granting of loans, additional capital, trade credits, purchase/sale of real estate, etc.).
Thus, a direct investment relationship is considered
to exist, where each investor holds at least 10% of
the share capital of a company. This does not preclude, however, the existence of a direct investment
relationship where the shareholding in the direct
investment company is lower than 10%, provided
that the investor intends to achieve long-standing
economic links.
Similarly to the procedures relating to flows, also for
the stocks of foreign direct investment a breakdown
is made between assets and liabilities, according to
the directional principle internationally agreed upon.
This means that, within the scope of foreign direct
investment in Portugal, for example, also the flows
that give rise to claims on non-resident direct investors must be registered. This kind of flow, which involves a reverse investment relationship, can happen at the level both of equity capital (shareholdings
of the investment company in the investor, i.e., the
so-called cross participations) and of other capital
(e.g., reverse loans - granting of loans by the direct
investment company to its direct investor).
The methodological recommendations also establish
a quantitative threshold for the identification of a
reverse direct investment relationship: shareholdings
of a direct investment company in its own direct investor must be lower than 10% of the latter’s capital. Whenever the shareholding is equal to or higher
than 10% of the direct investor’ share capital, it shall
be registered in Portuguese direct investment
abroad, given that a centre of economic interest is
created abroad by a resident in Portugal.
Resident direct investment companies
Resident direct investment companies are the juridical persons participated by foreign capital. In the case
of companies by shares, it is an indicator of a direct
investment relationship, the participation on an individual basis, by a non-resident individual or juridical person of, at least, 10% of the respective share
capital. In this concept, the acts and contracts made
by non-resident individual and juridical persons,
having an effect on the creation, maintenance or
strengthening of stable and lasting economic links,
related to a company established in Portugal, are
included.
Reinvested earnings
According to the methodological recommendations,
reinvested earnings of direct investment enterprises
are to be recorded in the balance of payments in the
period when they were earned, in contrast to dividends and distributed earnings, which have to be
recorded as of the date on which they are paid4. The
main reason behind the difference in the statistical
treatment is associated with the fact that reinvested
earnings contribute to the calculation of the net income calculated in a given period, while dividends
are a discretionary distribution of income, which can
be made at any time, normally after the occurrence.
Therefore, the value of reinvested earnings in a single year must equal to the net results of the exercise
for the same year minus the dividends paid during
that year:
Reinvested earningst = Net results of the exerciset - Dividends paidt
Reinvested earnings derived from non-resident
direct investors correspond to the percentage of their
participation in the direct investment company.
(4)
Valuation of assets and liabilities
Assets and liabilities, which take the form of direct
investment are valued at market prices (i.e., current
prices), thus ensuring the comparability between
6
flows and stocks of different companies and countries, and the inter-temporal consistency of statistical series.
Within the framework of the European Central Bank, the
methodological treatment of reinvested earnings, from a
balance of payments perspective, is a result of a
recommendation made by the Sub-Group 4 - Estimation
methods for direct investment, which was subsequently
approved by the Working Group on Statistics.
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Foreign Direct Investment in Portugal
3. METHODOLOGY ADOPTED IN THE QUESTIONNAIRE ON FOREIGN DIRECT INVESTMENT IN PORTUGAL
This first statistical operation involved all resident
companies which, according to the registrations
made at the Banco de Portugal, were receivers of
foreign direct investment in the past. The companies
surveyed were the following:
·
·
·
pragmatic solution, is currently adopted by a considerable number of OECD countries6 , as a way of
obviating the difficulty in assessing the market price
of all direct investment companies7.
Extrapolation of results in the case of non-financial companies
The procedure adopted was the following:
5772 non-financial companies(5),
61 another one for financial companies (of
which 28 banks, 11 financial holding companies, 9 credit-purchase financing companies and 7 financial leasing companies),
50 insurance companies and pension funds.
a) The share capital of companies was taken
as the basis for the extrapolation exercise,
since this information was known a priori;
b) The companies surveyed were classified in
the following groups : (i) the company replied and has foreign direct investment; (ii)
the company replied and does not have
foreign direct investment; (iii) the company
has closed down its activity and (iv) the
company did not reply;
c) Among the companies that were not surveyed or that did not reply, it was admitted that the share of those with foreign direct investment was the same as of those
surveyed and which replied;
d) On the basis of this hypothesis, the share
capital of foreign direct investment companies was estimated (capital stock of the
companies that replied as having foreign
direct investment plus the estimate of the
capital stock of those companies that albeit
not having been surveyed or that did not
reply were admitted to have foreign direct
investment);
e) For extrapolation purposes, a ratio was produced (total estimated share capital of companies with foreign direct investment divided by the share capital of the companies that replied as having foreign direct
investment). The extrapolation factor thus
calculated was fixed at 1.1744.
The compilation procedure adopted tried to be based
on the information directly compiled from the accounting data of the companies surveyed; for this
purpose, three distinct forms were conceived, according to the several charts of accounts in force:
·
·
·
one for non-financial companies (based on
the codes of accounts of the Official Chart
of Accounts),
another one for financial companies (based
on the Chart of Accounts of the Banking
System),
and another for insurance companies
(based on the Chart of Accounts of Insurance Companies).
Valuation of assets and liabilities
As a proxy for the foreign direct investment in Portugal use was made of the value of capital recorded
in the accounting books of foreign direct investment
companies. This procedure, which is accepted as a
(5)
According to the registrations available at the Banco de
Portugal (files of the bulletins for the authorisation of capital
imports for foreign investment operations, of the prior
investment declarations to the ICEP-Investments, trade and
tourism of Portugal, of the companies appearing through
the registers called COE-External transaction report and of
the direct investment statistical declarations), approximately
11000 non-financial companies were initially identified as
direct investment companies. This universe of companies
was subject to a two-stage sorting exercise: first, it was
decided not to survey a group of small-sized companies,
which were subsequently included in the extrapolation
exercise, and hence in the final Questionnaire results; second,
it was decided to exclude from the universe surveyed, the
companies that were not carrying on an activity when the
Questionnaire was launched. The final effect of the
application of these two criteria was a non-direct survey to
nearly 5000 companies of the initial universe.
(6)
Of the 21 OECD countries that currently compile statistics
on foreign direct investment positions, 18 use for this purpose
existing balance sheet values of the resident foreign
investment companies.
(7)
International organisations continue to encourage the
assessment of companies on the basis of their market price,
in order to reinforce the consistency between flows and stocks
in the field of direct investment statistics.
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
7
Foreign Direct Investment in Portugal
Assessment of reinvested earnings
The information that enabled the application of the
methodology to the calculation of reinvested earnings for the year of 1996 was directly derived from
the Questionnaire on Foreign Direct Investment,
namely on net results and distributed earnings reported for that year.
in the years in which the Questionnaire is made. For
these years, it will also be possible to estimate the
said aggregates on the basis of the accumulation of
foreign direct investment flows registered in the balance of payments, as a way of anticipating the QFDI
stocks results.
Adjustment of the survey form
The results of the Questionnaire also enabled to assess backdata on reinvested earnings for the period
1993-1995, which was based on an estimate on net
results and on the data reported on distributed earnings. Data reported on operational results for the
period 1993-1995 was the basis to produce estimates
on net results, having been assumed that, for this
period, the share of net earnings on the operational
results was identical to the figure obtained for 1996.
By this way, an estimate of net earnings was obtained
from which the distributed earnings in each of these
years were deducted; having been thus calculated
reinvested earnings in the period from 1993 to 1995.
Reception, explanation and treatment of the replies to
the Questionnaire
The reception, explanation and treatment of replies
to the Questionnaire was made by the Balance of
Payments Statistics Division, in Lisbon, and by the
Statistics Unit, at the Oporto branch, according to
the geographical location of the companies surveyed.
For this purpose, the Oporto branch was responsible for the file management of the companies having the head office to the north of the districts of
Coimbra, Viseu and Guarda; the file of the companies having their head office to the south of these
districts was managed by the Direct Reporting Unit
that belongs to the said Division, in Lisbon.
Continuity of the survey
In the future, the Questionnaire on Foreign Direct
Investment will be made every two years8 , on the
basis of the accounting data and the balance sheet
data as at 31 December of the year prior to the Questionnaire. For the years in which no Questionnaire
is made (that is, 1997, 1999, 2001,…), the stocks value
will be derived from the information supplied in the
column on transferred balances, which are computed
In terms of the structure of the Questionnaire, it is
admitted that in the future editions, it will be adapted
so as to anticipate possible reporting inaccuracies,
which have been detected in the processing of data
on this first statistical operation. The fact that it is
foreseen in the future to survey only a sample of
companies, to be defined on the basis of the results
of the first Questionnaire, also warrants the reformulation of the QFDI, without prejudice to the continuity of the statistical series started in the first version of the Questionnaire.
4. RESULTS
Within the context of data on flows, the results of
the current reporting system of foreign direct investment operations in Portugal, in the field of the balance of payments statistics, can be compared with
those derived from the QFDI, being additionally
possible, for the direct investment components not
observable through settlements systems, namely reinvested earnings and trade credits between foreign
direct investment companies, to obtain supplementary data for the assessment and characterisation of
these phenomena.
Considering that the direct survey to direct investment companies significantly improves the degree
of statistical coverage of this type of operations, the
results on flows derived therefrom warrant a change
in the statistical data for the year 1996, previously
published by the Banco de Portugal for the Portuguese balance of payments, on a transactions basis
(namely in the items direct investment, from the Financial Account, and direct investment income, from
the Current Account). A revision shall also be made
of the figures published in the previous years so as
to ensure the consistency of the statistical series9 .
(9)
(8)
8
Alternately with the QPDI - Questionnaire on Portuguese
Direct Investment Abroad, which will be made in the
common years (1998, 2000, 2002, …).
The revision will be made and published soon after the results
of the QPDI become available (which are currently in the
process of calculation), so as to guarantee a consistent
methodological treatment of the two segments.
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Foreign Direct Investment in Portugal
4.1 Stocks statistics on foreign direct investment
in Portugal
At the end of 1996, the stock value of FDI10 amounted
to 2.9 trillion escudos (see Table 1), being 84.4 per
cent of which centred on non-financial companies
(2.5 trillion escudos). This result reflects a 236.8 billion escudos increase from the previous year in external net liabilities, which resulted in its near entirety, from transactions carried out throughout 1996
(in view of possible price and exchange rate changes).
The value of the stock at the end of 1996 is explained,
from the result carried forward from 1995, by the
transactions carried out in 1996 plus changes, namely
price and exchange rate changes occurred in that
year. Considering that this is the first exercise car-
ried out in Portugal following the methodology recommended at the international level, no historical
series are available on the IIP, for a full assessment
of the degree of quality of the statistics that are currently being disclosed11 .
By components of direct investment, the share in
equity capital and reinvested earnings12 of Portuguese companies accounted for 82.2 per cent of the
stock of foreign direct investment, amounting to 2.4
trillion escudos in 31 December 1996. Investment
under the form of other capital13 , corresponded to
only 17.8 per cent of the total stock of foreign direct
investment, being more significant at the level of
non-financial companies, accounting for 20.1 per cent
of the total stock invested on these companies (see
Chart 1).
Table 1
FOREIGN DIRECT INVESTMENT IN PORTUGAL - STOCK VALUE 1996
Institutional sector
of the
resident enterprise
Non-financial companies
Initial
position
(31.12.1995)
Transactions
in
1996
Price and
exchange rate
changes
Million escudos
Final
position
(31.12.1996)
2 261 620
194 835
389
2 456 843
Monetary financial institutions
216 814
16 430
-140
233 104
Financial intermediaries and financial auxiliaries
137 912
11 185
35
149 132
57 777
9 003
5 080
71 860
2 674 123
231 452
5 364
2 910 939
Insurance companies
Total
Fonte : Banco de Portugal
(10)
Unless otherwise provided for, the analysis of the figure on
the stock of foreign direct investment in Portugal is reported
to the end of 1996.
(11)
Note, however, the possibility to compare the value provided
by QFDI with the amount of foreign direct investment stock
estimated in previous exercises by means of accumulation
of flows (the first exercise focused on the results for the years
from 1963 to 1992). This comparison made it possible to arrive
at results which are consistent with those obtained from the
QFDI.
(12)
Equity capital includes, in addition to the share capital, the
results for the year, additional capital and reserves.
(13)
This category includes, namely, loans, trade credits and other
operations carried out between companies with a direct
investment relationship.
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
9
Foreign Direct Investment in Portugal
Sector of activity of the (resident) direct investment company
Chart 1
TYPES OF FDI
Non-financial companies
Monetary financial institutions
3%
20%
80%
97%
Financial intermediaries and
financial auxiliaries
Insurance companies
2%
11%
89%
The stock of FDI was chiefly centred on the following sectors of activity (Classification of Economic
Activities - Rev. 2): “Manufacturing” (34.0 per cent)14 ,
“Real estate, rentals and supply of services to companies” (23.7 per cent)15 , “Wholesale and retail trade,
repair of motor vehicles, motorcycles and personal
and household goods” (17.2 per cent)16 and “Financial activities” (15.7 per cent)17 . The stock of foreign
direct investment in “Manufacturing” declined by
approximately 2 percentage points in total foreign
investment in 1996 compared with the end of the
previous year; a higher share was recorded in “Real
estate, rentals and supply of services to companies”,
chiefly due to foreign direct investment inflows occurred in 1996 in holding companies (see Chart 3).
98%
Chart 3
Stock on equity capital and reinvested earnings
FDI STOCK IN 1995
BREAKDOWN BY SECTOR OF ACTIVITY OF
THE RESIDENT COMPANY
Stock on other capital
Source: Banco de Portugal
Other
9,5%
The degree of foreign participation in the share capital of foreign direct investment companies residing
in Portugal (see Chart 2) exceeded 50 per cent both
in 1995 and in 1996 (56.3 and 53.0 per cent, respectively). In relative terms, non-resident investors held
majority shareholdings chiefly in the following sectors: non-financial companies and financial intermediaries and auxiliaries (around 62.0 and 54.0 per cent,
respectively); in insurance companies and monetary
financial institutions as a whole, albeit significant,
shareholdings were lower (around 39.0 and 38.0 per
cent, respectively).
F inancial
activities
15,4%
Other
9,5%
Manufact.
34,0%
R eal
es t.,s erv. to
companies
23,7%
DEGREE OF FOREIGN PARTICIPATION IN THE SHARE
CAPITAL OF PORTUGUESE DIRECT INVESTMENT ENTERPRISES
F inancial
activities
15,7%
Total
Financial intermediaries and
financial auxiliares
Wholes ale/
retail trade
17,2%
Source : Banco de Portugal
Non-financial companies
Monetary financial
institutions
(14)
Insurance companies
40,0%
50,0%
1995
Source : Banco de Portugal
1996
60,0%
70,0%
(15)
(16)
(17)
10
Wholes ale/
retail trade
17,6%
FDI STOCK IN 1996
BREAKDOWN BY SECTOR OF ACTIVITY OF
THE RESIDENT COMPANY
Chart 2
30,0%
Manufact.
35,7%
R eal
es t.,s erv. to
companies
21,9%
At the end of 1996, the manufacturing industries with a higher
participation of non-resident foreign investors were:
“Manufacture of motor vehicles, trailers and semi-trailers”
and “Food and beverages”.
It is chiefly the case of holding companies.
Wholesale trade has a more important share in the
participation of foreign investors as a whole.
The most important is “Financial intermediation, except
insurance and pension funds”.
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Foreign Direct Investment in Portugal
In relative terms, it is observed that in companies
belonging to “Manufacturing”, “Financial activities”
and “Real estate, rentals and supply of services to
companies” sectors, foreign investment which takes
the form of participation in the equity capital was
clearly predominant (this type of operation for each
one of these sectors, accounts for more than 85 per
cent of the respective stock of direct investment). The
granting of loans or trade credits, which to a certain
extent, may reflect a lower degree of permanence or
stability of capital in relation to investment, was a
major investment form in the “Wholesale and retail
trade, repair of motor vehicles, motorcycles and personal and household goods” sector.
location of the stock on FDI according to the country of residence of the company which held, under
the form of direct investment, the company responsible for the investment in Portugal, it is possible to
arrive at different results. In fact, while France and
the United Kingdom increased their shares in terms
of the foreign direct investment in Portugal to 16.6
and 14.2 per cent, respectively, Spain recorded a loss
in the percentage previously held in the stock of foreign direct investment in Portugal, standing at 13.2
per cent. However, the most significant increase was
recorded by the United States, which doubled its
position, i.e., to 11.6 per cent of the stock of foreign
direct investment.
Country of residence of the (non-resident) investor
Country / sector of activity18
(see Tables 10.1, 10.2 and 10.3 of the Statistical Annex)
The countries belonging to the Organisation for Economic Co-operation and Development (OECD) held
93.6 per cent of the total stock of FDI in Portugal (see
Table 7.2 of the Statistical Annex). The European
Union (EU) countries as a whole accounted for 80.7
per cent of total investment. Among them, Spain (accounting approximately for 507 billion escudos, i.e.,
17.4 per cent of total investment), France (429 billion
escudos, i.e., 14.7 per cent of the total), the United
Kingdom (355 billion escudos, i.e., 12.2 per cent of
the total) and Germany (313 billion escudos, i.e., 10.8
per cent of the total) must be mentioned. Within the
OECD, but outside EU a reference shall be made of
the United States (5.8 per cent of FDI) and Switzerland (5.4 per cent of the total invested), while regarding the aggregate countries of the Rest of the World
as a whole, Brazil accounted for 1.8 per cent of the
stock of FDI.
In carrying out direct investment transactions in
Portugal, non-residents were able to opt for the participation in the equity capital of Portuguese companies or for the recourse to any other type of intervention in the other capital. The results of the Questionnaire revealed that foreign investors were not
homogeneous in the decisions taken. Thus, as an
example of the main countries in terms of foreign
investment in Portugal, mention shall be made, on
the one hand, of resident investors in Spain, who
resorted to the granting of loans (approximately 31
per cent of the value of the stock of foreign direct
investment of Spain in Portugal) and, on the other,
the United States which opted for the investment in
the equity capital of Portuguese companies (approximately 95 per cent of the respective stock of foreign
direct investment).
From the perspective of the country of residence of
the headquarters, i.e., assessing the geographical al-
Germany held approximately 23.0 per cent (227.4
billion escudos) of the value of the stock of foreign
direct investment in companies belonging to the
“Manufacturing” sector, corresponding to around
72.6 per cent of the respective total FDI stock. Accounting for 15.7 per cent of the total value of foreign direct investment, France was the second largest foreign investor in Portuguese manufacturing
companies. French companies sent to this sector of
activity the highest volume of the respective net investment in Portugal (36.3 per cent of the respective
stock of foreign direct investment, i.e., 155.7 billion
escudos).
Investors from the United Kingdom, in turn, represented approximately 37.3 per cent (132.6 billion escudos) of the respective stock of foreign direct investment in Portugal in companies belonging to the
“Real estate, rentals and supply of services to companies” sector, representing 19.2 per cent of the total
value of foreign direct investment in this sector. The
Netherlands, in the same sector, held 17.3 per cent
of the value of the stock invested by non-residents.
The participation of Spain was chiefly centred on the
following sectors: “Wholesale and retail trade, repairs of motor vehicles, motorcycles and personal
and household goods” and “Manufacturing”, in
which Spain held approximately 29.1 per cent (147.7
billion escudos) and 28.4 per cent (144.0 billion
escudos) respectively, of the total stock of foreign direct investment in these sectors. Spain held 29.5
per cent of total foreign direct investment in Portuguese companies related to trade, having made
investments both in the wholesale and retail sectors.
(18)
Analysis made on the basis of the country of residence of the
direct investor.
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
11
Foreign Direct Investment in Portugal
Spain was followed by the United Kingdom (97.3
billion escudos, i.e., 19.5 per cent of the total amount
invested by non-residents in the above-mentioned
sector), having invested chiefly in companies belonging to the wholesale trade segment.
With respect to “Financial activities”, the main investor was France (98.4 billion escudos, i.e., 21.6 per
cent of the total stock of foreign direct investment in
the sector). This sector ranked in second place in the
stock of foreign direct investment of France in Portugal. Spain held the second place, accounting for
18.9 per cent of total foreign direct investment in this
sector (86.3 billion escudos).
Finally, it is worth mention that North American
investors held approximately 39.2 per cent of the total
of their foreign direct investment (66.7 billion
escudos) in the “Real estate, rentals and supply of
services to companies” sector. The second investment
position was reflected in “Manufacturing”, which
represented 23.7 per cent (40.3 billion escudos) of
the amount of North American investments in
Portugal.
Estimate on the stock of foreign direct investment in
Portugal at the end of 1997
Taking as a basis the results of the Questionnaire on
Foreign Direct Investment for 1996, the flows recorded in the balance of payments in 1997 and an
estimate on the reinvested earnings based on the
trend of Portuguese Gross Domestic Product, at
market prices, in 1997, an estimate was made on the
stock of foreign direct investment in Portugal at the
end of 1997. According to the result achieved, the
stock of foreign direct investment in Portugal is due
to have amounted to 3.3 trillion escudos, corresponding to a 13.8 per cent increase from the previous year
(see Table 2). This marked trend is explained by the
bulky investments made in Portugal, through the
granting of loans and additional capital to increase
investments already made.
12
Table 2
TREND OF THE STOCK OF FOREIGN DIRECT INVESTMENT
Million escudos
End-of-year
figures
1995
1996
1997*
2 674 123
2 910 939
3 313 851
Source : Banco de Portugal
* Estimate based on the balance of payments flows in 1997 and
on the amount of reinvested earnings estimated on the basis
of the GDP trend, at market prices.
4.2 Flows statistics
4.2.1 Foreign direct investment in Portugal
At the level of the balance of payments flows, the
results of the Questionnaire on Foreign Direct Investment are particularly important regarding the
foreign direct investment in Portugal and direct
investment income items. Within the scope of the
direct investment flows, mention should be made of
a phenomenon observed in this Questionnaire - reinvested earnings -, which is not directly observable
through the settlements system of external operations.
4.2.1.1 Reinvested earnings
Through the application of the methodology mentioned before, it was possible to assess, for 1996, the
amount of 101.5 billion escudos of net profits that
were reinvested by non-resident investors in direct
investment companies. This amount, which is entered to the credit of the item foreign direct investment in Portugal (corresponding to an increase in
external liabilities, resulting from an increase in the
amount invested in Portugal) and to the debit of direct investment income (due to the generation of income which is due to the foreign investor according
to the respective share on the direct investment enterprise’s capital), is reflected in a change in the statistical series published up to now by the Banco de
Portugal for the segment of foreign direct investment
in Portugal. For the 1993-1996 period, the results arrived at by the QFDI were the following:
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Foreign Direct Investment in Portugal
Spain and the United States (each accounting for
15%), the Netherlands (14%) and Luxembourg (10%).
Table 3
INCOME ON FOREIGN DIRECT INVESTMENT
Million escudos
1993
1994
1995
1996
Net results
63 775
74 502 119 593 156 465
Reinvested earnings
30 617
44 394
48%
60%
% of reinvested earnings
Chart 5
REINVESTED EARNINGS FROM 1993 TO 1996
CONTRY OF RESIDENCE OF THE DIRECT INVESTOR
70 595 101 457
59%
65%
F R ANCE
6%
Source: Banco de Portugal
On the basis of the figures, it must be noted that,
although less markedly in 1993, non-resident direct
investors have clearly opted for the reinvestment of
earnings on direct investment companies (see
Chart 4). Thus, in the years from 1994 to 1996, the
reinvestment of earnings was an important type of
foreign direct investment in Portugal, together with
other already identified in the statistical Bulletin of
the Banco de Portugal, such as equity increase or the
granting of loans and additional capital.
NON RESIDENT INVESTORS’ SHARE ON
NET PROFITS OF PORTUGUESE DIRECT
INVESTMENT COMPANIES
200.000
D i s t r i but ed
ear ni ngs
100.000
50.000
R ei nves t ed
ear ni ngs
0
1993
1994
1995
GER MANY
18%
LU X EMB .
10%
S PAIN
15%
T HE
NET HE R LANDS
14%
U .S .A.
15%
U NIT ED
KINGDOM
15%
Source : Banco de Portugal
Taking into account the country of residence of the
headquarters, the leading position was occupied by
the United States (25% of total reinvested earnings
in the period from 1993 to 1996), followed by the
United Kingdom (22%), Spain and Germany (14%,
each).
Chart 4
150.000
OT HER
7%
1996
Source : Banco de Portugal
In the context of reinvested earnings, mention should
be made of the operations carried out in 1996 (see
Table 11.2 of the Statistical Annex) by resident investors in Germany (accounting for 21% of the reinvested total), Luxembourg (19%), the Netherlands
(17%), the United States (14%) and Spain (10%). This
hierarchy is not applied in the remaining years assessed, since this variable is strongly dependent on
distributed earnings, which, as already mentioned
in this paper, only occur occasionally. Thus, for the
years 1993 to 1996 as a whole, it can be seen that the
countries with the strongest weight in reinvested
earnings (see Chart 5) were: Germany (18% of the
total reinvested in this period), United Kingdom,
The allocation by sector of activity of the resident
company reveals, for the years 1993 to 1996, that the
highest amounts of earnings were chiefly reinvested
in the sectors “Manufacturing” and “Wholesale and
retail trade, repair of motor vehicles, motorcycles and
personal and household goods”, having totalled in
these four years 93.3 and 77.7 billion escudos, respectively (see Chart 6). In the case of “Manufacturing”
the amount reinvested accounted for 60% of total
earnings allocated to foreign investors in the 19931996 period, while in “Wholesale and retail trade,
repair of motor vehicles, motorcycles and personal
and household goods” the share rose to 73%. Conversely, the sectors “Hotels and restaurants” and
“Other social and personal services to the community” recorded in the 1993-1996 period an accumulated negative figure on reinvested earnings 19
(2.0 and 1.8 billion escudos, respectively), chiefly mirroring negative net results.
(19)
This result corresponds to a foreign net disinvestment in
Portugal.
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
13
Foreign Direct Investment in Portugal
Chart 6
Table 4
REINVESTED EARNINGS FROM 1993 TO 1996
SECTOR OF ACTIVITY OF THE RESIDENT ENTERPRISE
FOREIGN DIRECT INVESTMENT IN PORTUGAL - FLOWS IN 1996
QFDI
116 686
224 927
241 860
-7 562
6 525
6 525
109 125
231 452
248 385
Equity capital *
Other
Other capital
Real estate, rentals,
services to comp.
Total
F inancial activities
Source : Banco de Portugal
* Includes reinvested earnings and real estate operations.
** The flows relating to real estate operations, derived from the statistical
reporting system on Portuguese balance of payments in 1996, were added
to the results of the QFDI.
Wholesale and retail
trade, repair of …
Manufacturing
0
Million escudos
Million escudos
Final
figures**
Balance of
payments
50.000
Net Results
100.000
150.000
200.000
Reinvested earnings
Source : Banco de Portugal
4.2.2 Income on foreign direct investment in Portugal
4.2.1.2
Other foreign direct investment flows in Portugal
Excluding reinvested earnings and real estate investment20 , the comparison exercise with the results of
the Questionnaire on Foreign Direct Investment,
enabled a general confirmation of the figures assessed for the foreign direct investment item of the
Portuguese balance of payments for the year 1996.
In addition to the values recorded in the balance of
payments, the results of the Questionnaire on Foreign Direct Investment reveal that foreign direct investment in Portugal, over that period was, in net
terms, 37.8 billion escudos higher. This figure was
chiefly accounted for by operations that do not require the existence of a monetary flow, such as trade
credits21 and equity increases through the incorporation of reserves.
In these circumstances, given the increase in the quality brought about by the Questionnaire on Foreign
Direct Investment, it can be considered that the net
flow of foreign direct investment in Portugal,
amounted to 248.4 billion escudos in 1996, distributed as follows:
(20)
As confirmed by the results, reinvested earnings were better
captured by the Questionnaire on Foreign Direct Investment,
while investment in real estate was only covered by the actual
statistical reporting system on balance of payments, based
on settlements and on the information reported in the real
estate investment statistical declarations.
(21)
The degree of statistical coverage of trade credit operations
was reinforced for the balance of payments as a whole, by
the results of the Quarterly Survey to Non-financial
Companies, which is being conducted since September 1997
by the Statistics Department of the Banco de Portugal.
14
From the results of the Questionnaire on Foreign
Direct Investment it is also possible to improve the
statistical coverage of the debits side of the item direct investment income22 . Indeed, on the basis of the
Questionnaire, this segment of operations totalled
156.5 billion escudos, against 47.6 billion escudos
recorded in the balance of payments for 1996.
As expected, while distributed earnings calculated
by the Questionnaire on Foreign Direct Investment
do not show significant differences from those of the
balance of payments for 1996 - 55.0 and 44.9 billion
escudos, respectively - reinvested earnings, to the
amount of 101.5 billion escudos, point clearly to the
need to correct the figures recorded under direct investment income. When the statistical variables to
be covered by the QFDI were defined, it was not foreseen however to include interest on loans between
direct investment companies and income on real estate investment, wherefore the results calculated for
these two components through the settlements system shall be considered in the final calculation of the
debits included under direct investment income23 .
In this context, debits of the item “Direct investment
income” published for the year 1996, to the amount
of 47.6 billion escudos, shall be corrected to 159.2
billion escudos (see Table 5).
(22)
(23)
Income on foreign direct investment in Portugal is included
in debits of direct investment income, while credits are reserved to the registration of income on Portuguese direct
investment abroad.
In the future, the coverage of these phenomena is foreseen.
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Foreign Direct Investment in Portugal
1. Components of Foreign Direct Investment
in Portugal stocks and flows:
Table 5
DIRECT INVESTMENT INCOME - DEBITS
1996
·
Components
Distributed earnings
Balance of
payments
44 862
Reinvested earnings
Million escudos
Final
QFDI
figures
·
55 008
55 008
·
101 457
101 457
Interest on loans
1 381
1 381
Rents on real estate
investment
1 355
1 355
Total
47 598
156 465
159 201
·
·
·
Source: Banco de Portugal
On the basis of the results of the Questionnaire on
Foreign Direct Investment and applying the same
methodology as for the production of the 1996 estimate, the new debit figures of the item direct investment income were calculated for the years 1993 to
1995 (see Table 6) and a computation was made of
the final figures to be included in the revised balance of payments.
2. Foreign Affiliated Trade Statistics (FATS) –
Business turnover, Personnel to the service, GAV, Exports and Imports :
·
·
·
Table 6
breakdown by country of origin of the
investment;
breakdown by sector of activity of the
resident company;
breakdown by institutional sector of the
resident company;
breakdown by institutional sector of the
non-resident company;
country / sector of activity of the resident company;
country / institutional sector of the resident company.
breakdown by country;
breakdown by sector of activity of the
resident company;
country / sector of activity of the resident company.
DIRECT INVESTMENT INCOME - DEBITS
1993
Million escudos
1994
1995
Balance of payments
26 799
38 810
46 621
QFDI
63 775
74 502
119 593
Final figures *
66 059
79 277
123 915
Source: Banco de Portugal
* The flows associated with the payment of interest on loans
between direct investment companies and income on investment
in real estate, which are both recorded in the Portuguese balance
of payments, were added to the results of the Questionnaire on
Foreign Direct Investment.
3. Direct investment income statistics - debits:
·
·
·
breakdown by country;
breakdown by sector of activity of the
resident company;
country / sector of activity of the resident company.
5. STATISTICS TO BE PRODUCED ON THE
BASIS OF THE RESULTS OF THE QFDI
The statistical outputs defined on the basis of the
results of the Questionnaire will be utilised not only
in the flows and stocks statistics of the balance of
payments and of the Portuguese international investment position, but also in the preparation of Portuguese financial accounts. On the basis of the results
of the Questionnaire on Foreign Direct Investment
it is possible to draft the production of the following
statistics :
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
15
Foreign Direct Investment in Portugal
Statistical Annex
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
17
Foreign Direct Investment in Portugal
1.1
FOREIGN DIRECT INVESTMENT IN PORTUGAL
INTERNATIONAL INVESTMENT POSITION
106 Escudos
Initial position
Transactions
(31.12.95)
Direct Investment
Equity capital
Other capital
Final position
changes
(31.12.96)
231.452
4.540
824
2.910.939
2.163.355
223.829
4.540
1.537
2.393.261
11.981
-27
77
0
12.031
2.175.335
223.802
4.617
1.537
2.405.292
510.768
7.624
0
-714
517.678
54.001
17.248
0
0
71.249
564.769
24.872
0
-714
588.927
Assets
Liabilities
Exchange rate
2.674.123
Assets
Liabilities
Price
changes
Source : Banco de Portugal
1.2 EQUITY CAPITAL AND OTHER CAPITAL IN THE FDI STOCK
Percentage
Initial position
Final position
(31.12.95)
(31.12.96)
Equity capital
80,9%
82,2%
Other capital
19,1%
17,8%
Source : Banco de Portugal
2.1 FOREIGN DIRECT INVESTMENT INCOME
106 Escudos
1993
1994
Net results
63.775
74.502
1995
119.593
156.465
1996
Distributed earnings
33.158
30.108
48.999
55.008
Reinvested earnings
30.617
44.394
70.595
101.457
Source : Banco de Portugal
2.2 NET RESULTS OF RESIDENT FDI COMPANIES ASSIGNED TO
NON-RESIDENT DIRECT INVESTORS
Percentage
1993
1994
1995
1996
Distributed earnings
52,0%
40,4%
41,0%
35,2%
Reinvested earnings
48,0%
59,6%
59,0%
64,8%
Source : Banco de Portugal
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
19
Foreign Direct Investment in Portugal
3.1 YIELD ON EQUITY CAPITAL OF RESIDENT FDI COMPANIES
106 Escudos
Equity capital
31.12.95
31.12.96
2.163.355
2.393.261
Net results
119.593
156.465
Yield rate
5,53%
6,54%
Source : Banco de Portugal
4.1 DEGREE OF FOREIGN PARTICIPATION IN THE SHARE CAPITALOF RESIDENT FDI COMPANIES
Percentage
31.12.95
31.12.96
Monetary Financial Institutions
39,4%
37,3%
Non-Monetary Financial Institutions
50,2%
48,8%
Financial intermediaries and auxiliaries
54,4%
53,4%
Insurance companies
39,3%
38,3%
Non-financial companies
63,7%
60,0%
TOTAL
56,3%
53,0%
Source : Banco de Portugal
5.1
FOREIGN DIRECT INVESTMENT IN PORTUGAL
INTERNATIONAL INVESTMENT POSITION
By institutional sector of the resident FDI company
106 Escudos
Initial position Transactions
(31.12.95)
Price
Exch. rate
Final position
changes
changes
(31.12.96)
Monetary Financial Institutions
216.814
16.430
-140
0
233.104
Non-Monetary Financial Institutions
195.689
20.187
5.080
35
220.991
137.912
11.185
0
35
149.132
57.777
9.003
5.080
0
71.860
Non-financial companies
2.261.620
194.835
-400
789
2.456.843
TOTAL
2.674.123
231.452
4.540
824
2.910.939
Financial intermediaries and auxiliaries
Insurance companies
Source : Banco de Portugal
5.2 STOCK ON FOREIGN DIRECT INVESTMENT IN PORTUGAL
By institutional sector of the resident FDI company
Percentage
Initial position
Final position
(31.12.95)
(31.12.96)
Monetary Financial Institutions
8,1%
Non-Monetary Financial Institutions
7,3%
7,6%
5,2%
5,1%
Financial intermediaries and auxiliaries
Insurance companies
Non-financial companies
TOTAL
8,0%
2,2%
2,5%
84,6%
84,4%
100,0%
100,0%
Source : Banco de Portugal
20
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Foreign Direct Investment in Portugal
6.1
FOREIGN DIRECT INVESTMENT IN PORTUGAL
INTERNATIONAL INVESTMENT POSITION
Investment in the institutional sector “Monetary Financial Institutions”
Direct Investment
Equity capital
Assets
Liabilities
Other capital
Assets
Liabilities
Initial position
(31.12.95)
Transactions
Price
changes
Exchange rate
changes
216.814
213.503
3.165
216.668
3.311
0
3.311
16.430
12.715
0
12.715
3.714
0
3.714
-140
-140
0
-140
0
0
0
0
0
0
0
0
0
0
106 Escudos
Final position
(31.12.96)
233.104
226.079
3.165
229.243
7.026
0
7.026
Source : Banco de Portugal
6.2
EQUITY CAPITAL AND OTHER CAPITAL IN THE FOREIGN DIRECT INVESTMENT STOCK
IN PORTUGAL
Investment in the institutional sector “Monetary Financial Institutions”
Initial position
(31.12.95)
Equity capital
Other capital
98,5%
1,5%
Percentage
Final position
(31.12.96)
97,0%
3,0%
Source : Banco de Portugal
6.3
FOREIGN DIRECT INVESTMENT IN PORTUGAL
INTERNATIONAL INVESTMENT POSITION
Investment in the institutional sector “Non-Monetary Financial Institutions”
Direct Investment
Equity capital
Assets
Liabilities
Other capital
Assets
Liabilities
Initial position
(31.12.95)
Transactions
Price
changes
195.689
186.264
0
186.264
9.425
653
10.078
20.187
12.167
0
12.167
8.020
1.292
9.312
5.080
5.080
0
5.080
0
0
0
Exchange rate
changes
35
35
0
35
0
0
0
106 Escudos
Final position
(31.12.96)
220.991
203.547
0
203.547
17.445
1.945
19.390
Source : Banco de Portugal
6.4
EQUITY CAPITAL AND OTHER CAPITAL IN THE FOREIGN DIRECT INVESTMENT STOCK
IN PORTUGAL
Investment in the institutional sector “Non-Monetary Financial Institutions”
Initial position
(31.12.95)
Equity capital
Other capital
95,2%
4,8%
Percentage
Final position
(31.12.96)
92,1%
7,9%
Source : Banco de Portugal
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
21
Foreign Direct Investment in Portugal
6.5 FOREIGN DIRECT INVESTMENT IN PORTUGAL
INTERNATIONAL INVESTMENT POSITION
Investment in the institutional sector “Non-Financial companies”
Direct Investment
Equity capital
Assets
Liabilities
Other capital
Assets
Liabilities
Initial position
(31.12.95)
Transactions
Price
changes
Exchange rate
changes
2.261.620
1.763.588
8.816
1.772.403
498.032
53.348
551.380
194.835
198.946
-27
198.919
-4.110
15.956
11.846
-400
-400
77
-323
0
0
0
789
1.503
0
1.503
-714
0
-714
106 Escudos
Final position
(31.12.96)
2.456.843
1.963.636
8.866
1.972.502
493.208
69.304
562.511
Source : Banco de Portugal
6.6 EQUITY CAPITAL AND OTHER CAPITAL IN THE FOREIGN DIRECT INVESTMENT
STOCK IN PORTUGAL
Investment in the institutional sector “Non-Financial companies”
Equity capital
Other capital
Initial position
(31.12.95)
Percentage
Final position
(31.12.96)
78,0%
22,0%
79,9%
20,1%
Source : Banco de Portugal
22
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Foreign Direct Investment in Portugal
7.1
FOREIGN DIRECT INVESTMENT IN PORTUGAL
INTERNATIONAL INVESTMENT POSITION
By economic area and main countries of the non-resident direct investor
106 Escudos
Ininial position
Transactions
(31.12.95)
OECD
Price
Exchange rate
changes
changes
Final position
(31.12.96)
2.500.298
220.096
4.536
952
2.725.882
2.142.744
197.298
2.999
5.797
2.348.838
Germany
278.037
29.492
1.030
4.461
313.019
Spain
397.630
109.167
329
183
507.309
France
419.713
5.405
2.707
1.290
429.116
270.318
EU
The Netherlands
234.269
35.038
250
760
Luxembourg
148.994
17.956
-286
-353
166.311
United Kingdom
368.392
-12.440
-915
217
355.255
Other
295.708
12.680
-117
-761
307.510
357.555
22.798
1.537
-4.845
377.044
Korea
18.767
-12.046
0
-2
6.719
USA
155.386
18.241
0
-3.616
170.012
Japan
23.667
5.967
5
-460
29.180
156.407
Other
146.045
9.641
1.481
-760
Other
13.690
995
50
-8
14.727
Rest of the world
173.825
11.357
3
-128
185.057
Brazil
48.340
3.337
-46
-74
51.557
Switzerland
Other
TOTAL
125.485
8.020
50
-54
133.500
2.674.123
231.452
4.540
824
2.910.939
Source : Banco de Portugal
7.2
STOCK ON FOREIGN DIRECT INVESTMENT IN PORTUGAL
By economic area and main countries of the non-resident direct investor
Percentage
Initial position
Final position
(31.12.95)
(31.12.96)
93,5%
93,6%
80,1%
80,7%
Germany
10,4%
10,8%
Spain
14,9%
17,4%
France
15,7%
14,7%
8,8%
9,3%
OECD
EU
The Netherlands
Luxembourg
United Kingdom
5,6%
5,7%
13,8%
12,2%
11,1%
10,6%
13,4%
13,0%
Korea
0,7%
0,2%
USA
5,8%
5,8%
Japan
0,9%
1,0%
Switzerland
5,5%
5,4%
Other
Other
Other
0,5%
0,5%
Rest of the world
6,5%
6,4%
Brazil
1,8%
1,8%
Other
4,7%
4,6%
Source : Banco de Portugal
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
23
Foreign Direct Investment in Portugal
7.3
FOREIGN DIRECT INVESTMENT IN PORTUGAL
INTERNATIONAL INVESTMENT POSITION
By country of the non-resident direct investor
106 Escudos
Initial position
Transactions
(31.12.95)
Price
Exch. rate
Final position
changes
changes
(31.12.96)
109.167
329
183
507.309
419.713
5.405
2.707
1.290
429.116
368.392
-12.440
-915
217
355.255
Germany
278.037
29.492
1.030
4.461
313.019
The Netherlands
234.269
35.038
250
760
270.318
United States of America
155.386
18.241
0
-3.616
170.012
Luxembourg
148.994
17.956
-286
-353
166.311
Switzerland
146.045
9.641
1.481
-760
156.407
Italy
67.567
12.051
-75
-843
78.700
Denmark
72.857
-965
0
53
71.945
Sweden
70.197
-1.252
3
43
68.991
Spain
397.630
France
United Kingdom
Belgium
55.195
3.291
0
68
58.554
Brazil
48.340
3.337
-46
-74
51.557
Japan
23.667
5.967
5
-460
29.180
Bahamas
16.706
1.325
0
-23
18.008
Kowait
15.529
1.068
0
26
16.623
Cayman Islands
15.388
812
0
7
16.207
Panama
14.036
846
0
-47
14.835
Antilles (The Netherlands)
13.040
414
-2
-9
13.443
Virgin Islands (British)
12.338
-162
116
-25
12.268
Liechtenstein
11.388
426
-33
-25
11.757
Ireland
12.243
-852
0
-145
11.246
Norway
9.127
368
50
45
9.590
Gibraltar
9.283
-153
1
28
9.159
Austria
8.106
944
0
73
9.124
Finland
9.259
-704
-17
-9
8.528
18.767
-12.046
0
-2
6.719
Macao
3.518
1.948
0
-25
5.441
Canada
4.196
523
0
-58
4.661
Virgin Islands (USA)
3.340
-187
0
0
3.153
People’s Republic of China
2.186
-27
0
57
2.217
Colombia
2.039
75
0
2
2.116
Hong Kong
2.322
-188
-33
-32
2.068
202
1.578
0
4
1.783
Republic of Korea
Uruguay
Other
TOTAL
4.821
513
-28
11
5.318
2.674.123
231.452
4.540
824
2.910.939
Source : Banco de Portugal
24
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Foreign Direct Investment in Portugal
8.1
FOREIGN DIRECT INVESTMENT IN PORTUGAL
INTERNATIONAL INVESTMENT POSITION
By economic area and main countries of residence of the headquarter
of the non-resident direct investor
106 Escudos
Initial position
Transactions
(31.12.95)
OECD
Price
Exch. rate
Final position
changes
changes
(31.12.96)
2.486.204
222.713
4.536
906
2.714.359
1.979.686
179.775
2.729
2.695
2.164.885
Germany
256.126
27.859
919
2.364
287.268
Spain
336.810
47.487
352
65
384.714
France
409.421
69.573
2.700
1.106
482.799
The Netherlands
167.434
8.940
-49
699
177.024
Luxembourg
106.004
16.513
-286
-317
121.914
United Kingdom
411.271
1.549
-933
642
412.529
Other
292.620
7.854
26
-1.864
298.636
506.518
42.938
1.807
-1.789
549.474
Korea
18.767
-12.046
0
-2
6.719
USA
300.183
38.510
226
-1.511
337.409
Japan
46.634
6.409
6
-401
52.648
132.155
8.862
1.526
86
142.628
8.778
1.204
50
39
10.070
187.919
8.739
3
-82
196.580
EU
Other
Switzerland
Other
Rest of the world
Brazil
51.661
-995
-172
-42
50.452
Other
136.258
9.734
175
-40
146.128
2.674.123
231.452
4.540
824
2.910.939
TOTAL
Source : Banco de Portugal
8.2
STOCK ON FOREIGN DIRECT INVESTMENT IN PORTUGAL
By economic area and main countries of the headquarter of the non-resident direct investor
Percentage
Initial position
Final position
(31.12.95)
(31.12.96)
93,0%
93,2%
74,0%
74,4%
9,6%
9,9%
Spain
12,6%
13,2%
France
15,3%
16,6%
6,3%
6,1%
OECD
EU
Germany
The Netherlands
4,0%
4,2%
United Kingdom
15,4%
14,2%
Other
10,9%
10,3%
18,9%
18,9%
Luxembourg
Other
Korea
0,7%
0,2%
USA
11,2%
11,6%
Japan
1,7%
1,8%
Switzerland
4,9%
4,9%
Other
0,3%
0,3%
Rest of the world
7,0%
6,8%
Brazil
1,9%
1,7%
Other
5,1%
5,0%
Source : Banco de Portugal
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
25
Foreign Direct Investment in Portugal
8.3 FOREIGN DIRECT INVESTMENT IN PORTUGAL
INTERNATIONAL INVESTMENT POSITION
By country of residence of the headquarter of the non-resident direct investor
106 Escudos
Initial position
Transactions
(31.12.95)
France
409.421
Price
Exch. rate
Final position
changes
changes
(31.12.96)
69.573
2.700
1.106
482.799
United Kingdom
411.271
1.549
-933
642
412.529
Spain
336.810
47.487
352
65
384.714
United States of America
300.183
38.510
226
-1.511
337.409
Germany
256.126
27.859
919
2.364
287.268
The Netherlands
167.434
8.940
-49
699
177.024
Switzerland
132.155
8.862
1.526
86
142.628
Luxembourg
106.004
16.513
-286
-317
121.914
Sweden
75.277
-749
3
33
74.563
Denmark
73.869
-908
0
-856
72.105
Italy
61.890
5.665
6
-827
66.735
Belgium
56.245
2.823
67
-34
59.101
Japan
46.634
6.409
6
-401
52.648
Brazil
51.661
-995
-172
-42
50.452
Cayman Islands
17.661
522
0
8
18.191
Bahamas
15.694
1.395
0
-15
17.074
Kowait
15.529
1.068
0
26
16.623
Panama
13.623
846
0
-48
14.421
Antilles (The Netherlands)
13.035
421
-2
-9
13.445
Liechtenstein
11.295
394
-33
-34
11.622
Virgin Islands (British)
11.322
-98
242
-23
11.442
Finland
11.333
-665
-23
-13
10.632
Bermuda Islands
8.598
1.742
0
1
10.340
Ireland
8.109
685
0
-178
8.616
Gibraltar
8.007
-88
1
32
7.952
Norway
6.960
356
50
37
7.403
18.767
-12.046
0
-2
6.719
Republic of Korea
Austria
5.613
836
0
13
6.462
Macao
3.518
1.948
0
-25
5.441
South Africa
3.304
66
0
35
3.405
Virgin Islands (USA)
3.340
-187
0
0
3.153
People’s Republic of China
2.186
-27
0
57
2.217
Colombia
2.039
75
0
2
2.116
Hong Kong
2.360
-180
-33
-32
2.115
Uruguay
202
1.578
0
4
1.783
Canada
937
322
0
-4
1.255
Other
TOTAL
5.711
951
-28
-14
6.620
2.674.123
231.452
4.540
824
2.910.939
Source : Banco de Portugal
26
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
9.1 STOCK ON FOREIGN DIRECT INVESTMENT IN PORTUGAL
By main sector of activity of the resident FDI company
(Classification of Economic Activities - Rev.2)
10 6 Escudos
Agriculture, farming of animals, forestry and fishing (01+05)
Initial position
Transactions and
Final position
(31.12.95)
other changes
(31.12.96)
3.457
458
3.915
Mining industries (10 a 14)
38.204
-1.896
36.309
Manufacturing industries
954.589
34.987
989.576
121.702
10.116
131.819
76.144
-2.956
73.188
8.464
-755
7.710
Food products, beverages and tobacco (15+16)
Textiles and leather (17+18+19)
Wood and cork (20)
Paper (21+22)
132.438
3.215
135.653
Chemical and allied industries (23+24+25)
118.069
16.333
134.402
Non-metallic mineral products (26)
48.299
849
49.149
Basic metals and fabricated metal products (27+28)
91.712
2.440
94.152
Non-electric machinery (29)
39.596
4.550
44.147
Electrical and optical equipment (30+31+32+33)
138.844
-10.190
128.654
Transport equipment (34+35)
168.219
11.251
179.469
11.235
11.102
133
Electricity, gas and water supply (40+41)
Other (36+37)
84.078
2.418
86.496
Construction (45)
51.010
7.591
58.601
Trade (50+51+52)
469.794
30.072
499.867
39.540
847
40.387
Hotels and restaurants (55)
Transport and communication (60+61+62+63+64)
12.046
39.237
410.841
45.040
455.881
Real estate and business activities (70 to 74)
586.088
102.899
688.987
9.331
2.351
11.682
2.674.123
236.816
2.910.939
Public administration, Education, Health and other activities
TOTAL
Source : Banco de Portugal
27
Foreign Direct Investment in Portugal
27.191
Financial activities (65+66+67)
STOCK ON FOREIGN DIRECT INVESTMENT IN PORTUGAL
By main sector of activity of the resident FDI company
(Classification
of Economic
ActivitiesActivities
- Rev.2)
(Classification
of Economic
- Rev. 2)
By main sector of activity of the resident FDI company
Percentage structure
Percentage
Initial position
Transactions and
Final position
(31.12.95)
other changes
(31.12.96)
Agriculture, farming of animals, forestry and fishing (01+05)
0,1%
0,2%
Mining industries (10 a 14)
1,4%
-0,8%
0,1%
1,2%
Manufacturing industries
35,7%
14,8%
34,0%
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Food products, beverages and tobacco (15+16)
4,6%
4,3%
4,5%
Textiles and leather (17+18+19)
2,8%
-1,2%
2,5%
Wood and cork (20)
0,3%
-0,3%
0,3%
Paper (21+22)
5,0%
1,4%
4,7%
Chemical and allied industries (23+24+25)
4,4%
6,9%
4,6%
Non-metallic mineral products (26)
1,8%
0,4%
1,7%
Basic metals and fabricated metal products (27+28)
3,4%
1,0%
3,2%
Non-electric machinery (29)
1,5%
1,9%
1,5%
Electrical and optical equipment (30+31+32+33)
5,2%
-4,3%
4,4%
Transport equipment (34+35)
6,3%
4,8%
6,2%
Other (36+37)
0,4%
0,1%
0,4%
3,1%
1,0%
3,0%
Electricity, gas and water supply (40+41)
Construction (45)
1,9%
3,2%
2,0%
Trade (50+51+52)
17,6%
12,7%
17,2%
Hotels and restaurants (55)
1,5%
0,4%
1,4%
Transport and communication (60+61+62+63+64)
1,0%
5,1%
1,3%
Financial activities (65+66+67)
15,4%
19,0%
15,7%
Real estate and business activities (70 to 74)
21,9%
43,5%
23,7%
0,3%
1,0%
0,4%
Public administration, Education, Health and other activities
Source : Banco de Portugal
Foreign Direct Investment in Portugal
28
9.2 STOCK ON FOREIGN DIRECT INVESTMENT IN PORTUGAL
9.2
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
9.2 FOREIGN DIRECT INVESTMENT IN PORTUGAL
9.3 STOCK
ON FOREIGN
DIRECT INVESTMENT
INTERNATIONAL
INVESTMENT
POSITION IN PORTUGAL
By
activity
of the resident
FDI company
Bysector
mainof
sector
of activity
of the resident
FDI company
(Classification
of
Economic
Activities
Rev.
2 Breakdowns)
continued
(Classification of Economic Activities - Rev.2 Breakdowns)
to(to
be be
continued)
6
Initial position
(31.12.95)
Agriculture, farming of animals, hunting and related service activities
Fishing, operation of fish hatcheries and farms and related service activities
Extraction of crude petroleum, natural gas and related service activities
Mining and quarrying of metal ores
Other mining industries
Manufacture of food products and beverages
Manufacture of tobacco products
Manufacture of textiles
Manufacture of wearing apparel; dressing and dyeing of fur
Tanning and dressing of leather; manufacture of luggage and footwear
Manufacture of products of wood and cork, except furniture
Manufacture of articles of pulp, paper and paperboard
Publishing, printing and reproduction of recorded media
Manufacture of chemical products
Manufacture of rubber and plastic products
Manufacture of other non-metallic mineral products
Manufacture of basic metals
Manufacture of fabricated metal products, except machinery and equipment
Manufacture of machinery and equipment n.e.c.
Manufacture of office machinery and information processing equipment
Manufacture of electrical machinery and apparatus n.e.c.
Manufacture of radio, television and communication equipment and apparatus
Manufacture of medical, precision and optical instruments, etc.
Manufacture of motor vehicles, trailers and semi-trailers
Manufacture of other transport equipment
Manufacture of furniture; manufacturing n.e.c.
Recycling
Electricity, gas, steam and hot water supply
Collection, purification and distribution of water
3.039
418
199
34.518
3.487
121.701
2
25.553
30.542
20.049
8.464
119.721
12.717
96.874
21.194
48.299
18.445
73.267
39.596
100
30.938
95.223
12.583
166.404
1.814
10.865
237
82.499
1.579
41
335
-28
-2.770
329
11.784
-4
-642
-2.103
-782
-728
-2.315
5.261
11.657
4.708
-101
75
2.032
3.978
12
4.313
-8.053
-3.216
7.061
-509
87
67
1.680
-8
Price
changes
80
0
0
0
0
-837
0
-23
6
0
0
23
0
-131
-27
1.097
211
0
420
0
0
0
0
87
0
-28
0
0
0
Exch. rate
changes
2
0
0
557
16
-827
0
354
56
180
-27
278
-33
471
-345
-147
174
-52
152
1
-545
-2.846
143
4.605
6
7
0
733
13
3.162
753
170
32.306
3.833
131.821
-2
25.241
28.500
19.446
7.710
117.708
17.945
108.871
25.531
49.149
18.905
75.247
44.147
113
34.707
84.324
9.510
178.158
1.311
10.931
304
84.913
1.584
29
Foreign Direct Investment in Portugal
01
05
11
13
14
15
16
17
18
19
20
21
22
24
25
26
27
28
29
30
31
32
33
34
35
36
37
40
41
Transactions
10 Escudos
Final position
(31.12.96)
Initial position
(31.12.95)
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
45
50
51
52
55
60
61
62
63
64
65
66
67
70
71
72
74
80
85
90
91
92
93
Construction
Sale, maintenance and repair of motor vehicles and motorcycles
Wholesale trade and agents involved
Retail trade; repair of personal goods
Hotels and restaurants
Land transport; transport via pipelines
Water transport
Air transport
Supporting and auxiliary transport activities; travel agencies and tour operators
Post and telecommunications
Financial intermediation, except insurance and pension funding
Insurance, pension funding and other activities auxiliary to social security
Activities auxiliary to financial intermediation
Real estate activities
Renting of machinery and equipment without operator and of personal and household goods
Computer and related activities
Other business activities
Education
Health and social work
Sewage and refuse disposal, sanitation and similar activities
Activities of membership organisations n.e.c.
Recreational, cultural and sporting activities
Other service activities
TOTAL
Source : Banco de Portugal
51.010
56.476
317.003
96.315
39.540
3.146
4.317
40
6.497
13.191
354.041
57.783
-983
122.807
5.898
6.475
450.907
280
364
1.246
373
6.394
673
2.674.123
Transactions
7.728
-3.673
35.832
-848
803
2.546
2.215
-161
1.172
6.508
27.594
9.010
3.456
-3.163
-607
239
107.770
97
5
791
-20
2.034
-38
231.452
Price
changes
-267
0
119
0
0
1
0
0
-11
0
-140
5.080
0
-376
-117
1
-323
0
0
0
0
-304
0
4.540
Exch. rate
changes
131
-699
-764
104
44
-184
-28
26
-39
2
0
0
40
-216
29
49
-385
2
1
3
0
-220
0
824
10 6 Escudos
Final position
(31.12.96)
58.601
52.105
352.191
95.571
40.387
5.509
6.503
-95
7.618
19.701
381.495
71.873
2.513
119.052
5.202
6.763
557.970
379
370
2.040
353
7.904
635
2.910.939
Foreign Direct Investment in Portugal
30
9.2 FOREIGN DIRECT INVESTMENT IN PORTUGAL
9.3 STOCK
ON FOREIGN
DIRECT INVESTMENT
INTERNATIONAL
INVESTMENT
POSITION IN PORTUGAL
By
of activity
of the of
resident
FDI company
Bysector
main sector
of activity
the resident
FDI company
(Classification
(Classificationof
ofEconomic
EconomicActivities
Activities--Rev.2
Rev. 2Breakdowns)
Breakdowns)(continuation)
(continuation)
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
10.1 STOCK ON FOREIGN DIRECT INVESTMENT IN PORTUGAL
By main sector of activity of the resident FDI company/ country of residence of the non-resident direct investor
10 6 Escudos
Germany
Manufacturing industries
USA
Spain
France
Netherlands
Unit. Kingdom
Other countries
Total - sector
227.404
40.348
144.027
155.662
60.266
44.458
317.411
989.576
Trade
28.840
33.098
147.684
51.888
35.350
97.271
105.736
499.867
Financial activities
25.130
19.796
86.307
98.436
8.139
29.205
188.868
455.881
Real estate and business activities
17.580
66.678
90.385
86.025
118.981
132.624
176.714
688.987
Other sectors
14.065
10.091
38.906
37.105
47.581
51.697
77.182
276.627
313.019
170.012
507.309
429.116
270.318
355.255
865.910
2.910.939
Total - country
Source : Banco de Portugal
10.2 STOCK ON FOREIGN DIRECT INVESTMENT IN PORTUGAL
By main sector of activity of the resident FDI company
Percentage structure by country of residence of the non-resident direct investor
Percentage
Germany
Manufacturing industries
USA
Spain
France
Netherlands
Unit. Kingdom
Other countries
Total - sector
23,0%
4,1%
14,6%
15,7%
6,1%
4,5%
32,1%
100,0%
Trade
5,8%
6,6%
29,5%
10,4%
7,1%
19,5%
21,2%
100,0%
Financial activities
5,5%
4,3%
18,9%
21,6%
1,8%
6,4%
41,4%
100,0%
Real estate and business activities
2,6%
9,7%
13,1%
12,5%
17,3%
19,2%
25,6%
100,0%
Other sectors
5,1%
3,6%
14,1%
13,4%
17,2%
18,7%
27,9%
100,0%
Source : Banco de Portugal
Germany
Manufacturing industries
Trade
USA
Percentage
Spain
France
Netherlands
Unit. Kingdom
Other countries
72,6%
23,7%
28,4%
36,3%
22,3%
12,5%
36,7%
9,2%
19,5%
29,1%
12,1%
13,1%
27,4%
12,2%
Financial activities
8,0%
11,6%
17,0%
22,9%
3,0%
8,2%
21,8%
Real estate and business activities
5,6%
39,2%
17,8%
20,0%
44,0%
37,3%
20,4%
Other sectors
4,5%
5,9%
7,7%
8,6%
17,6%
14,6%
8,9%
100,0%
100,0%
100,0%
100,0%
100,0%
100,0%
100,0%
Total - country
Source : Banco de Portugal
31
Foreign Direct Investment in Portugal
10.3 STOCK ON FOREIGN DIRECT INVESTMENT IN PORTUGAL
By main countries of residence of the non-resident direct investor
Percentage structure by sector of activity of the resident FDI company
Foreign Direct Investment in Portugal
11.1 FOREIGN DIRECT INVESTMENT INCOME
By economic area and main countries of the non-resident direct investor
106 Escudos
Net results
Distributed earnings
154.187
54.817
110.249
34.953
75.296
Germany
28.704
7.473
21.232
Spain
14.844
4.899
9.945
France
5.079
8.249
-3.170
OECD
EU
Reinvested earnings
99.370
The Netherlands
18.714
1.753
16.961
Luxembourg
21.454
2.102
19.352
United Kingdom
14.739
7.943
6.796
6.715
2.534
4.181
43.939
19.864
24.074
Other
Other
Korea
USA
Japan
Switzerland
445
70
375
27.188
13.143
14.045
1.609
575
1.035
14.884
6.026
8.858
Other
-188
51
-238
Rest of the world
2.278
191
2.087
Brazil
2.302
3
2.299
Other
TOTAL
-24
188
-212
156.465
55.008
101.457
Source : Banco de Portugal
11.2 FOREIGN DIRECT INVESTMENT INCOME
By economic area and main countries of the non-resident direct investor
Percentage
Net results
OECD
EU
Germany
Distributed earnings
Reinvested earnings
98,5%
99,7%
97,9%
70,5%
63,5%
74,2%
18,3%
13,6%
20,9%
Spain
9,5%
8,9%
9,8%
France
3,2%
15,0%
-3,1%
The Netherlands
12,0%
3,2%
16,7%
Luxembourg
13,7%
3,8%
19,1%
United Kingdom
9,4%
14,4%
6,7%
Other
4,3%
4,6%
4,1%
28,1%
36,1%
23,7%
Other
Korea
0,3%
0,1%
0,4%
USA
17,4%
23,9%
13,8%
Japan
1,0%
1,0%
1,0%
Switzerland
9,5%
11,0%
8,7%
Other
-0,1%
0,1%
-0,2%
Rest of the world
1,5%
0,3%
2,1%
Brazil
1,5%
0,0%
2,3%
Other
0,0%
0,3%
-0,2%
Source : Banco de Portugal
32
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Foreign Direct Investment in Portugal
12.1
FOREIGN DIRECT INVESTMENT INCOME
By economic area and main countries of residence of the headquarter
of the non-resident direct investor
106 Escudos
Net results
Distributed earnings
Reinvested earnings
153.571
54.850
98.721
94.548
34.637
59.911
Germany
21.011
7.387
13.624
Spain
14.622
3.770
10.852
OECD
EU
6.209
10.163
-3.954
The Netherlands
12.498
4.021
8.477
Luxembourg
18.258
1.598
16.661
United Kingdom
17.049
5.089
11.960
4.900
2.609
2.291
59.024
20.214
38.810
445
70
375
49.507
17.231
32.276
-614
695
-1.308
7.854
France
Other
Other
Korea
USA
Japan
10.021
2.167
Other
-336
51
-387
Rest of the world
2.894
158
2.736
Brazil
1.455
3
1.452
Other
1.438
155
1.284
156.465
55.008
101.457
Switzerland
TOTAL
Source : Banco de Portugal
12.2
FOREIGN DIRECT INVESTMENT INCOME
By economic area and main countries of residence of the headquarter
of the non-resident direct investor
Percentage
Net results
OECD
EU
Distributed earnings
Reinvested earnings
98,2%
99,7%
97,3%
60,4%
63,0%
59,1%
13,4%
13,4%
13,4%
Spain
9,3%
6,9%
10,7%
France
4,0%
18,5%
-3,9%
The Netherlands
8,0%
7,3%
8,4%
Germany
Luxembourg
11,7%
2,9%
16,4%
United Kingdom
10,9%
9,3%
11,8%
3,1%
4,7%
2,3%
Other
37,7%
36,7%
38,3%
Korea
0,3%
0,1%
0,4%
USA
31,6%
31,3%
31,8%
Japan
-0,4%
1,3%
-1,3%
Other
6,4%
3,9%
7,7%
Other
-0,2%
0,1%
-0,4%
Rest of the world
1,8%
0,3%
2,7%
Brazil
0,9%
0,0%
1,4%
Other
0,9%
0,3%
1,3%
Switzerland
Source : Banco de Portugal
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
33
10 6 Escudos
Net results
Agriculture, farming of animals, forestry and fishing (01+05)
Distributed earnings
-417
Reinvested earnings
0
-417
Mining industries (10 a 14)
1.267
3.282
-2.016
Manufacturing industries
39.347
16.291
23.057
Food products, beverages and tobacco (15+16)
6.534
4.327
2.207
Textiles and leather (17+18+19)
3.416
565
2.850
-534
0
-534
Wood and cork (20)
Paper (21+22)
Chemical and by-products (23+24+25)
Non-metallic mineral products (26)
Basic metals and fabricated metal products (27+28)
758
497
261
21.488
5.144
16.345
2.368
337
2.031
660
200
460
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
Non-electric machinery (29)
4.268
575
3.694
Electrical and optical equipment (30+31+32+33)
6.794
4.234
2.561
Transport equipment (34+35)
-5.280
401
-5.681
Other (36+37)
-1.125
12
-1.137
886
2
884
Electricity, gas and water supply (40+41)
Construction (45)
2.541
192
2.350
Trade (50+51+52)
32.826
8.830
23.996
-703
109
-812
Hotels and restaurants (55)
Transport and communication (60+61+62+63+64)
7.017
738
6.280
Financial activities (65+66+67)
25.994
12.037
13.957
Real estate and business activities (70 to 74)
47.368
13.452
33.916
338
75
263
156.465
55.008
101.457
Public administration, Education, Health and other activities
TOTAL
Source : Banco de Portugal
Foreign Direct Investment in Portugal
34
13.1 FOREIGN DIRECT INVESTMENT INCOME
By main sector of activity of the resident FDI company
(Classification of Economic Activities - Rev.2)
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
13.2 FOREIGN DIRECT INVESTMENT INCOME
By main sector of activity of the resident FDI company
(Classification of Economic Activities - Rev.2)
Percentage structure
Percentage
Net results
Agriculture, farming of animals, forestry and fishing (01+05)
Distributed earnings
-0,3%
0,0%
Reinvested earnings
-0,4%
Mining industries (10 a 14)
0,8%
6,0%
-2,0%
Manufacturing industries
25,1%
29,6%
22,7%
Food products, beverages and tobacco (15+16)
4,2%
7,9%
2,2%
Textiles and leather (17+18+19)
2,2%
1,0%
2,8%
-0,3%
0,0%
-0,5%
0,5%
0,9%
0,3%
13,7%
9,4%
16,1%
Wood and cork (20)
Paper (21+22)
Chemicals and by-products (23+24+25)
Non-metallic mineral products (26)
1,5%
0,6%
2,0%
Basic metals and fabricated metal products (27+28)
0,4%
0,4%
0,5%
Non-electric machinery (29)
2,7%
1,0%
3,6%
Electrical and optical equipment (30+31+32+33)
4,3%
7,7%
2,5%
Transport equipment (34+35)
-3,4%
0,7%
-5,6%
Other (36+37)
-0,7%
0,0%
-1,1%
0,6%
0,0%
0,9%
Electricity, gas and water supply (40+41)
Construction (45)
1,6%
0,3%
2,3%
Trade (50+51+52)
21,0%
16,1%
23,7%
Hotels and restaurants (55)
-0,4%
0,2%
-0,8%
Transport and communication (60+61+62+63+64)
1,3%
6,2%
16,6%
21,9%
13,8%
Real estate and business activities (70 to 74)
30,3%
24,5%
33,4%
0,2%
0,1%
0,3%
Public administration, Education, Health and other activities
Source : Banco de Portugal
35
Foreign Direct Investment in Portugal
4,5%
Financial activities (65+66+67)
6
10 Escudos
Net results
Distributed earnings
Reinvested earnings
01
Agriculture, farming of animals, hunting and related service activities
-215
0
-215
05
Fishing, operation of fish hatcheries and farms and related service activities
-203
0
-203
11
Extraction of crude petroleum, natural gas and related service activities
3
0
3
13
Mining and quarrying of metal ores
835
3.165
-2.330
14
Other mining industries
15
Manufacture of food products and beverages
16
Manufacture of tobacco products
17
Manufacture of textiles
18
Manufacture of wearing apparel; dressing and dyeing of fur
430
117
312
6.535
4.327
2.209
-2
0
-2
1.604
248
1.356
396
311
84
1.410
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
19
Tanning and dressing of leather; manufacture of luggage and footwear
1.416
6
20
Manufacture of products of wood and cork, except furniture
-534
0
-534
21
Manufacture of articles of pulp, paper and paperboard
-177
143
-320
22
Publishing, printing and reproduction of recorded media
24
Manufacture of chemical products
25
Manufacture of rubber and plastic products
26
Manufacture of other non-metallic mineral products
27
Manufacture of basic metals
28
Manufacture of fabricated metal products, except machinery and equipment
29
Manufacture of machinery and equipment n.e.c.
30
Manufacture of office machinery and information processing equipment
31
Manufacture of electrical machinery and apparatus n.e.c.
32
Manufacture of radio, television and communication equipment and apparatus
33
Manufacture of medical, precision and optical instruments, etc.
34
Manufacture of motor vehicles, trailers and semi-trailers
35
Manufacture of other transport equipment
36
Manufacture of furniture; manufacturing n.e.c.
37
Recycling
40
Electricity, gas, steam and hot water supply
41
Collection, purification and distribution of water
935
354
581
16.069
5.116
10.953
5.419
27
5.392
2.368
337
2.031
77
160
-83
583
40
542
4.268
575
3.694
24
9
15
-186
202
-388
6.366
3.558
2.808
591
466
125
-4.484
379
-4.864
-796
21
-817
-1.128
0
-1.128
3
12
-9
1.111
2
1.110
-226
0
-226
Foreign Direct Investment in Portugal
36
13.3 FOREIGN DIRECT INVESTMENT INCOME
By sector of activity of the resident FDI company
(Classification of Economic Activities - Rev.2 Breakdowns) (to be continued)
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
13.3 FOREIGN DIRECT INVESTMENT INCOME
By sector of activity of the resident FDI company
(Classification of Economic Activities - Rev.2 Breakdowns) (continuation)
6
10 Escudos
Net results
Distributed earnings
Reinvested earnings
2.350
Construction
2.541
192
50
Sale, maintenance and repair of motor vehicles and motorcycles
1.078
1.042
36
51
Wholesale trade and agents involved
32.196
7.782
24.414
52
Retail trade; repair of personal goods
-449
6
-454
55
Hotels and restaurants
-703
109
-812
60
Land transport; transport via pipelines
79
0
79
61
Water transport
-154
0
-154
62
Air transport
-250
0
-250
63
Supporting and auxiliary transport activities; travel agencies and tour operators
842
732
110
64
Post and telecommunications
6.501
6
6.495
65
Financial intermediation, except insurance and pension funding
22.850
10.764
12.086
66
Insurance, pension funding and other activities auxiliary to social security
3.436
1.245
2.191
67
Activities auxiliary to financial intermediation
-292
29
-321
70
Real estate activities
-4.697
93
-4.790
71
Renting of machinery and equipment without operator and of personal and household goods
830
1
829
72
Computer and related activities
641
16
625
74
Other business activities
50.595
13.342
37.252
80
Education
12
0
12
85
Health and social work
90
Sewage and refuse disposal, sanitation and similar activities
91
Activities of membership organisations n.e.c.
14
0
14
92
Recreational, cultural and sporting activities
284
36
248
93
Other service activities
TOTAL
Source : Banco de Portugal
5
9
-3
12
0
12
10
30
-19
156.465
55.008
101.457
37
Foreign Direct Investment in Portugal
45
Foreign Direct Investment in Portugal
REFERENCES
l
Implementation Package: Statistical Requirements for Stage Three of the Monetary Union,
EMI, July 1996
l
Balance of Payments Manual, 5th Edition, IMF,
1993
l
Benchmark Definition of Foreign Direct Investment, 3rd Edition, OECD, 1996
l
Balance of Payments Vade Mecum, EUROSTAT,
August 1997
l
Foreign Direct Investment: Main conclusions of
the “Survey of Methodological Standards for Direct Investment” (SIMSDI), conducted in 1997 by
IMF and OECD
l
SARAIVA, Ana Margarida: Foreign Direct Investment in Portugal in the 1986-1992 period, Quarterly Bulletin of the Banco de Portugal, December 1993
l
Annual Report 1997, IMF Committee on Balance
of Payments Statistics, IMF, February 1998
l
Estimation Methods for Direct Investment, SubGroup 4 - Balance of Payments Financial Flows
and Stocks Task Force, EMI, 1997
l
The Measurement of Reinvested Earnings in the
Balance of Payments, prepared by Jack Bame and
approved by Mahinder S. Gill, IMF, September
1995
l
Instruction no. 1/96 of the Banco de Portugal
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
39
Foreign Direct Investment in Portugal
Supplements to the Statistical Bulletin
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
41
Foreign Direct Investment in Portugal
Supplements to the Statistical Bulletin
1/98
Statistical information on non-monetary financial institutions, December 1998.
2/98
Foreign Direct Investment in Portugal: Flows and stocks statistics for the year 1996 and
estimates on stocks for 1997, December 1998.
Banco de Portugal / Supplement no. 2 to the Statistical Bulletin / December 1998
43