The Belgian economy has traditionally been characterised by high foreign direct investment (FDI). According to the World Investment Report 2024 published by UNCTAD, the country was the 16th FDI recipient in the world in 2023, with a total FDI inflow of USD 23 billion, doubling the level recorded one year earlier (USD 11.5 billion). At the end of the same period, the FDI stock stood at USD 577.9 billion. The main investing countries remain France, the U.S., Germany, the United Kingdom and Italy (by ultimate investing country - data OECD). Investments continue to be mainly oriented towards financial and insurance activities, manufacturing, professional, scientific and technical services, and administrative and support service activities. According to the latest data from the OECD, FDI inflows to Belgium were negative by USD 9.9 billion in the first semester of 2024, mostly due to movements in intra-company loans as resident affiliates extended loans to their foreign parents.

Belgium's investment attractiveness can be attributed to its strategic geographic position at the crossroads of the main European markets, the quality of transport, logistics and telecommunications infrastructure, its trade specialised in semi-processed and semi-finished goods, a multilingual and qualified labour force and high levels of purchasing power. The stability of society, the quality of the labour and the infrastructures have been attracting projects. There are currently no limits on foreign ownership or control in Belgium and there are no distinctions between Belgian and foreign companies. However, starting from July 1, 2023, the new Belgian foreign investment screening rules came into effect. Any deals signed from this date onward must undergo mandatory pre-closing notification to the Belgian Inter-federal Screening Commission (ISC). The regulations apply to transactions where a foreign investor gains 'control' over a Belgian strategic entity or acquires voting rights (10% or 25%, based on the sector) in such an entity. The notification thresholds vary based on the sector involved, including health, energy, transport, artificial intelligence, the aerospace industry, media, biotech, etc. In September 2024, Belgium's Federal Public Service published a report on foreign investment trends and policy in the first year of the Belgian FDI screening mechanism. During the relevant period, the ISC received 68 notifications, approving 53 investments unconditionally and leaving 15 pending. No corrective measures or blocked investments occurred. The average time from notification to the start of Phase I was six days, with 44.1% of cases starting within one day. The Phase I review lasted 31 days on average, with additional information requested in four cases. Phase II screening was initiated in five cases, four of which are still pending. US investors were the most active, accounting for 43.4% of investments, followed by the UK (29%) and Switzerland (5.3%). Most notifications involved complete acquisitions or control acquisitions, with 16.2% being internal restructurings. The top impacted sectors were data (15.1%), health (15.1%), digital infrastructure (11.6%), transport (10.5%), and electronic communication (8.1%). Overall, Belgium’s business climate is considered favourable, and the country ranks 16th among the 180 economies on the latest Corruption Perception Index and 46th out of 184 countries on the latest Index of Economic Freedom, as well as 24th in the Global Innovation Index 2024.

Investment Opportunities

The Key Sectors of the National Economy

• Food: the food industry comprises a major sector of the economy. The world's largest food groups are active in Belgium (Danone, InBev, Coca-Cola, Kraft Foods Belgium, Nestlé, Materne, Ferrero, etc.).
• Biotechnology: around 140 companies are active in biotechnology in Belgium. Universities and research centres have forged strong links with economic players to develop this forward-looking sector.
• Property industry: Brussels offers a strategic location, an attractive property market and the presence of key European decision-making bodies, making it the ideal headquarters for major corporations. Hundreds of multinationals – mainly American and Japanese – have their European headquarters in Belgium.
• Transport and logistics: Belgium is the perfect location for a logistical base, headquarters or distribution centre in mainland Europe. The infrastructure, skills and IT facilities provide an ideal environment and beachhead for conquering the European market.
• Automotive: over the past 20 years Belgium has turned out an average of 1,000,000 vehicles a year, most of them destined for export. Belgium is a key player in vehicle assembly. With plants like Opel Antwerp, Ford Genk, Audi Forest/Brussels, Volvo Europa, Van Hool (buses) and Truco, Belgium has a strong presence in the production market.
• The information and communication technology sector is dynamic in Belgium, notably thanks to the quality of telecommunication infrastructure.
  
• Aerospace: Belgian industry plays a key role in the aerospace sector. Many aircraft bear the stamp of Belgian know-how: Airbuses, Boeing, the F-16, the Rafale, the Falcon 7X, the Ariane 4 and 5 space programs, SPOT earth observation satellites to name but a few. In its economic development plan, the Walloon Region specifically promotes competitiveness in the aerospace industry.

High Potential Sectors

There is significant growth in the service sector. The country has switched from heavy production to light manufacturing and is producing finished goods instead of steel, textiles, and raw materials. Belgium imports basic or intermediary goods, adds value to them through advanced manufacturing and then exports the finished products. With the exception of its remaining coal resources, Belgium has no significant natural resources. The renewable energies sector is developing taking into account the goals set by the European Union, but remains underdeveloped.

Privatization Programmes

At the moment, Belgium has no scheduled privatizations, although there are ongoing discussions about a possible privatization of the state-owned bank Belfius and the government share in telecom operator Proximus. Despite calls to open up the Belgian railway sector to private companies, the government announced in September 2020 that SNCB will remain the only railway operator for the next ten years.

Tenders, Projects and Public Procurement

EBP, Tenders and Projects in Belgium
Tenders Info, Tenders in Belgium
TED - European Public Markets, European Tenders

Sectors Where Investment Opportunities Are Fewer

Monopolistic Sectors

In Belgium, the postal (bpost) and railway (SNCB) sectors have remained under public control.

Sectors in Decline

Construction, steel, nuclear power.

Finding Assistance For Further Information

Investment Aid Agency

Business Belgium

Other Useful Resources

The Belgian Foreign Trade Agency (BFTA)
AWEX (Export support agency for the Walloon region)

Doing Business Guides

Investing in Belgium - Thomson Reuters Practical Law
Doing Business in Belgium
Expatica - Guide to investing in Belgium