The number of new foreign investments in Belgium fell by 11 per cent in 2025 to its lowest level since 2014. With 187 projects, Belgium however retains eighth place in the annual European attractiveness barometer compiled by consultancy firm EY. It is also striking that the number of jobs created by these investments continued to rise.
Belgium is not alone in this trend of a further decline in foreign investment projects. Across the European continent, the number of foreign direct investments fell by 7 per cent to 5,026, the lowest level in the past ten years.
The causes are well known. Ongoing geopolitical tensions, trade uncertainty fuelled by rising import tariffs, high and volatile energy prices, and weak economic growth are weighing on the inflow of new investment. In this context, the largest investment destinations have taken the hardest hits. Think of France, the United Kingdom and Germany. But Belgium, too, has seen a larger-than-average decline.
Job creation from these new investments fell by 25 per cent in Europe last year compared to the previous year. Here, Belgium is bucking the trend, with a second consecutive increase: up 13 per cent to 6,094 jobs. This second consecutive increase does, however, follow a sharp decline in 2023.
For Tristan Dhondt, partner at EY Belgium, Europe is going through a difficult period. “Uncertainty has become a structural factor in investment decisions, whether driven by geopolitics, energy prices or trade tensions.”
“Uncertainty has become a structural factor in investment decisions”
Steven Claes, CEO of EY Belgium, also pointed to the trade policy of the US, Belgium’s main foreign investor, under president Donald Trump’s administration. “American companies were clearly given guidance that when they invest, they should do so primarily in America.” The impact of this is being felt not only in Belgium but across Europe, he said, for example among pharmaceutical companies.
Production laboratory of the Takeda Plasma-Based Therapies Biotech Manufacturing Site in Lessines © BELGA PHOTO LAURIE DIEFFEMBACQ
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