China (including Hong Kong) leads the 2025 Foreign Direct Investment (FDI) Confidence Index for emerging markets, according to global consultancy A.T. Kearney, with Indonesia ranking 12th.
Foreign investment has long been a crucial pillar in the economic development of many countries around the world. Inflows of overseas capital not only help finance large-scale projects but also create employment opportunities, support technology transfers, and drive long-term economic growth.
However, not all countries hold the same level of appeal in the eyes of foreign investors. A range of factors — including political stability, economic policies, infrastructure, and legal certainty — determines whether a country is considered a viable investment destination. Emerging economies, in particular, tend to be more reliant on foreign investment to accelerate development, strengthen industrial sectors, and expand their digital economies.
The level of investor confidence in the emerging market is most recently reflected in A.T. Kearney’s latest report entitled The 2025 Kearney FDI Confidence Index: World at Inflection. Compiled using primary data from a survey involving 536 senior executives from leading global companies with annual revenues of at least US$500 million, the survey for this index was first conducted in January 2025.
For countries constituted as ‘emerging markets’, China (including Hong Kong) secured the top position with a score of 1.973 points, reflecting its considerable market scale, production capacity, and policy stability within industrial sectors. The United Arab Emirates (UAE) claimed second place with a score of 1.862 points, maintaining investor confidence through progressive economic policies, digital transformation, and sustainability initiatives – particularly in Dubai and Abu Dhabi, both of which continue to serve as global business hubs.
Saudi Arabia followed in third place with a score of 1.758 points, driven by its long-term economic strategy billed as Vision 2030, the aim of which is to reduce the country’s dependence on oil and boost the contribution of non-oil sectors.
Further down the ranking, the report placed Indonesia in 12th position with a score of 1.359 points, maintaining its standing from the previous year. Indonesia ranks just below Thailand and Malaysia, which secured FDI confidence scores of 1.452 and 1.417 points, respectively.
For countries constituted as ‘emerging markets’, below is the complete list of Foreign Direct Investment Confidence Index rankings and scores for the year 2025 according to A.T. Kearney:
- China (including Hong Kong) – 1.973
- United Arab Emirates – 1.862
- Saudi Arabia – 1.758
- Brazil – 1.594
- India – 1.535
- Mexico – 1.513
- South Africa – 1.488
- Poland – 1.465
- Argentina – 1.463
- Thailand – 1.452
- Malaysia – 1.417
- Indonesia – 1.359
- Egypt – 1.330
- Türkiye – 1.327
- Chile – 1.301