European Economy. Economic Papers. Germany's growth performance in the 1990's

Table 3.3: German Direct Investment Abroad: Outflows by Country (Billion DEM)
Outflows to:
90+91
92+93
1994
1995
1996
1997
1998
1999
2000
B-L
9.93
11.63
1.38
2.84
0.46
2.83
5.25
9.83
26.83
DK
0.28
0.41
0.02
1.09
-0.21
0.82
0.20
0.80
0.92
EL
0.28
0.24
0.15
-0.03
-0.12
0.80
0.67
0.37
0.95
E
4.29
2.03
1.08
0.58
0.45
3.19
4.36
3.43
5.07
F
7.59
4.97
2.09
4.89
3.30
4.58
15.15
9.18
7.20
IRL
10.92
2.38
1.06
-0.22
-1.22
4.93
0.97
-1.74
-2.97
I
2.87
2.30
0.78
3.46
4.15
2.90
5.54
2.46
-5.76
NL
6.01
6.38
1.78
8.21
2.89
-0.59
4.28
7.99
-17.80
A
1.99
2.03
0.90
2.59
5.59
2.85
4.40
1.60
18.07
P
0.48
0.71
0.67
0.12
0.49
0.94
0.67
0.10
1.87
FIN
0.07
0.16
0.01
0.21
0.35
-0.09
0.87
0.57
0.28
S
0.62
1.29
0.71
0.25
0.28
0.42
2.93
11.92
3.17
UK
9.10
5.62
3.95
10.62
19.75
5.18
1.75
78.57
-21.71
CA
2.33
-0.58
0.31
0.14
-0.37
1.21
0.51
2.38
0.32
CH
3.72
2.27
1.46
1.81
0.71
7.11
4.43
0.06
-0.78
JP
1.20
0.40
0.65
0.51
2.59
0.04
0.97
1.23
6.39
NO
0.11
0.19
-0.06
0.01
-0.12
0.15
0.70
0.25
0.30
US
10.40
4.72
2.79
4.25
22.73
18.60
79.01
48.07
47.24
EU
54.53
40.16
14.56
34.61
36.15
28.77
47.01
125.09
16.11
OECD total
74.12
51.79
22.83
45.78
68.14
63.79
146.14
187.88
80.98
Total
77.92
55.82
27.88
55.59
76.48
72.48
155.87
201.56
103.08
Source : OECD Statistical Databases (2002).
Table 3.4 displays the destination of flows in selected years based on Bundesbank data. They
confirm the exceptional role of the UK and Belgium-Luxembourg as recipients, but they also
show the substantial change in relative importance from year to year. The latter can be seen in
the cases of Ireland and the Netherlands, where substantial changes in shares were observed.
In terms of sectors the lion’s share of direct investment has usually been taken by services,
except in the year 1998 due to a single transaction in manufacturing (see Table 3.5). Among the
service direct investment flows those related to financial activities and to real estate and
business were more or less the same in size whereas other services were negligible. The share of
manufacturing was at around 40% in most years with major flows recorded in the sector
petroleum, chemical, rubber and plastic products and in the sector vehicles and other transport
equipment. The strong investment of these sectors could suggest that large multinational
companies, which are dominating these two sectors in Germany (Bayer, Aventis, BASF in the
former, Daimler-Chrysler, BMW, Volkswagen in the latter), and their efforts to participate in
ongoing globalisation of business activity played a major role. Contrary the sectors for metal
and mechanic products and for office machines recorded only small outbound flows.

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