How Foreign Direct Investment Is Bypassing the Strong Dollar

Episode 45 of International Business with Fexingo examines a surprising shift in global capital flows: foreign direct investment (FDI) is increasingly denominated in yuan, euros, and yen rather than dollars. Lucas walks through new data from the IMF and UNCTAD showing that the dollar's share of cross-border M&A and greenfield project finance has slipped below 70 percent for the first time since 2003. Luna brings up the recent deal between India's Adani Group and Saudi Arabia's PIF, which they structured entirely in rupees and riyals. The conversation drills into one specific case: how a German mid-cap chemical company financed its U.S. factory expansion with a euro-denominated loan from a Chinese bank, bypassing dollar-based trade finance entirely. Lucas explains the mechanics of currency swap lines and how the strong dollar itself is pushing non-dollar players to create alternative liquidity pools. The episode closes with a forward-looking question about whether the dollar's reserve status is truly at risk or if this is just a cyclical adjustment. No clickbait, just a clear-eyed look at a structural change happening now. #ForeignDirectInvestment #FDI #StrongDollar #DeDollarization #CrossBorderM&A #TradeFinance #YuanDenominated #Euro #CurrencySwapLines #AdaniGroup #PIF #IMF #UNCTAD #GlobalCapitalFlows #Business #InternationalTrade #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo