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London on top as European City of the Future in FDI rankings

Feb 26
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London on top as European City of the Future in FDI rankings...

In a study of the most promising investment locations, London has been crowned European City of the Year 2014/15 by fDi Magazine.

According to the magazine - a Financial Times publication - the capital of the UK demonstrated a clear strategy for attracting foreign direct investment (FDI) and ranked first in the Economic Potential category for major European cities. London scored well in terms of the software and IT, business services and financial services sectors.

In addition, London ranked second in the Infrastructure category, due partly to the city’s forthcoming Crossrail project, which is the largest civil engineering scheme in Europe.

fDi Magazine say that, on the whole, UK cities and regions performed very well this year.

Nordrhein-Westfalen, Germany, ranked first in the Region of the Future division, rising six places from its position in 2012/13. The district also came third in Economic Potential and second in Human Capital.

Helsinki emerged as a highly ranking newcomer in the Top 25 European Cities category, coming second. Finland’s capital has been receiving an influx of attention from the magazine recently, due to its efforts to attract FDI and scored highly for FDI Strategy.

The Dutch city of Eindhoven was also a new entry, ranking third in the Top 25, first in the FDI Strategy category for small European cities and fourth in the Infrastructure category.

Courtney Fingar, editor-in-chief of fDi Magazine, said: "It is a challenging time for FDI in Europe. With sluggish growth in many of the major economies and continuing ill effects from the euro zone crises of last year, inflows into the region have declined. 

“That makes it crucial for Europe's cities and regions to take a proactive stance towards FDI promotion and to ensure their investment environments are as competitive as possible. 

She added that the magazine’s rankings recognise the locations that are doing just that, and they work to highlight the respective strengths of cities and regions of all sizes in Europe.

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