Foreign Direct Investment in Canada Increases 2.6% in 2010

Foreign direct investment in Canada accelerated last year, led by increased flows from U.S. investors, a government report showed. Canadian direct investment abroad declined for a second year.

Foreign direct investment in Canada rose 2.6 percent to C$561.6 billion ($584 billion), as investment from the U.S. rose 5 percent to C$306.1 billion, Statistics Canada said in a report today. Direct investment excluding the U.S. fell 0.3 percent.

The share of direct investment in Canada held by U.S. investors rose for the first time since 2004 to 54.5 percent, the statistics agency said.

Canadian direct investment abroad fell 0.7 percent to C$616.7 billion on an appreciating currency, which reduces the Canadian dollar value of foreign investments.