Annex 9

Analysis of Foreign Direct Investment (FDI) is important due to its impact on the production, employment, value added, etc., of the host economy. Distinguishing FDI by its type will help to refine this analysis as the purchase/sale of existing shares versus purchase/sale of newly issued shares will usually have significantly different results regarding their economic impact (see Chapter 2). The focus of this annex concerns practical recommendations on the compilation of FDI statistics to show investment in the form of Mergers and Acquisitions (M&ampA) type transactions, and, more specifically, purchase/sale of existing shares.

OECD Benchmark Definition of Foreign Direct Investment 2008: Fourth Edition

Annex 9

Mergers and Acquisitions (M&A) Type Transactions as a Part of FDI Statistics