Kearney

The 2026 Kearney FDI Confidence Index Launch

The virtual launch of the 2026 Kearney Foreign Direct Investment (FDI) Confidence Index marks the firm’s centennial milestone and presents a forward‑looking snapshot of executive sentiment on global capital allocation for the next three years. The survey, conducted in January before the recent Middle‑East conflict escalation, captures expectations around geopolitics, commodity volatility, and political stability, while highlighting a pronounced shift in investment priorities. Key findings reveal that technological and innovation capabilities have overtaken regulatory efficiency as the primary driver of location decisions, with 10 of the top 25 markets citing tech strength as the top reason to invest. A striking 88% of respondents intend to increase FDI, despite anticipations of rising geopolitical tensions and commodity price pressures. The United States retains its 14‑year reign at the top of the rankings, while Canada, Japan and China round out the top five. Notably, the Asia‑Pacific region now holds the largest share of the top‑25 list, and Singapore surges to 8th place, exemplifying the rise of “middle‑power” hubs. The thematic focus on industrial policy underscores its growing relevance: 84% of executives consider it a critical factor, yet 79% warn that frequent policy changes generate uncertainty. Investors view infrastructure development and tax incentives favorably, whereas tariffs and export controls are less popular. High confidence (86%) in navigating these policies suggests firms are adopting strategic foresight and scenario planning to mitigate risk. Overall, the index signals a re‑calibration of global investment flows toward technology‑rich economies and markets with stable, predictable policy frameworks. Companies that embed forward‑looking strategic planning and diversify supply chains are likely to capture the emerging opportunities while managing heightened geopolitical and regulatory volatility.