International M&A are forecast to decline by 56 percent
Jakarta: International mergers and acquisitions are forecast to decline by 56 percent this year compared with 2008, the largest year-on-year decline since 1995, the Organization for Economic Cooperation and
Development (OECD) said in a report.
The estimate is based on OECD`s analysis of data for international Mergers and Acquisitions (M&A) activity up to 26 November 2009, OECD reported yesterday.
The fall was largely due to the 60 percent decline in value of cross-border M&A by firms based in the OECD area, from over USD 1 trillion in 2008 to USD 454 billion in 2009, it said.
However, it was also due to the first sharp declines in M&A activity into and from major emerging economies: international M&A activity by firms based in Brazil, China, India, Indonesia, Russia, and South Africa fell by 62 percent to USD 46 billion in 2009 from USD 121 billion in 2008.
M&A activity into these countries is forecast to
decline by almost 40 percent this year to just over USD 80
billion from just under USD 140 billion in 2008, the
Speaking at the recent opening of the OECD Global Forum on Investment in Paris, OECD Secretary-General Angel Gurria said that governments needed to do more to promote
"Against the backdrop of a fragile global economy and
sharp declines in international investment activity that have
now spread to the emerging economies, the international
investment policy community cannot afford to relax," Gurria
More from India
More from World
More from Sports
More from Entertaiment
- DNA: Why did Navjot Singh Sidhu call BJP 'Kaikeyi’, Congress ‘Kaushalya’?
- Arms case: Salman Khan acquitted by Jodhpur court
- DNA: Analysis of insensitivity shown by political leaders over rising poverty in India
- Raisina Dialogue 2017: Pakistan must walk away from terror, says PM Modi
- Will Akhilesh-Rahul alliance be able to trump BJP in UP elections?
- World's 30 most dynamic cities: Check out the full list
- WATCH: Kieron Pollard's incredible one-handed six demoralises Fawad Ahmed
- China State TV said that its troops can reach New Delhi in 48 hours in war scenario; Indians slay it with their replies
- China's NSG stand is neither fair nor transparent, says Defence Expert
- Bengaluru pips Silicon Valley to become world's most dynamic city