Iore|gn d|rect |nvestment (IDI) or forelgn lnvesLmenL refers Lo Lhe neL lnflows of lnvesLmenL Lo acqulre

a lasLlng managemenL lnLeresL (10 percenL or more of voLlng sLock) ln an enLerprlse operaLlng ln an
economy oLher Lhan LhaL of Lhe lnvesLor
1
lL ls Lhe sum of equlLy caplLal relnvesLmenL of earnlngs
oLher longLerm caplLal and shorLLerm caplLal as shown ln Lhe balance of paymenLs lL usually lnvolves
parLlclpaLlon ln managemenL [olnLvenLure Lransfer of Lechnology and experLlse 1here are Lwo Lypes of
lul lnward forelgn dlrecL lnvesLmenL and ouLward forelgn dlrecL lnvesLmenL resulLlng ln a lul
(poslLlve or negaLlve) and sLock of forelgn dlrecL lnvesLmenL whlch ls Lhe cumulaLlve number
for a glven perlod ulrecL lnvesLmenL excludes lnvesLmenL Lhrough purchase of shares
2
lul ls one
example of lnLernaLlonal facLor movemenL