Why France Is the Best Bet for Tech Entrepreneurs in Europe

The promise of foreign direct investments (FDI)

Amid the Brexit turmoil, three European countries broke into ranks of nations with the highest growth potential for entrepreneurs. Netherlands ($68 billion), Ireland ($66 billion), and France ($50 billion) are among the nations with highest foreign direct investment (FDI) inflows, ranked among the US ($311 billion), Mainland China ($144 billion), Hong Kong ($85 billion), Australia ($60 billion), Brazil ($60 billion), Singapore ($58 billion), and India ($45 billion).

FDI flows to the European Union fell by 26% in 2017 when compared to 2016, amounting to $370 billion. Much of the drop is explained by the UK taking a significant hit (-90%). However, despite the overall decline, a generally positive economic outlook meant that FDI inflows grew in 19 out of 32 European economies in 2017, UNCTID reports in its latest edition of the Investment Trends Monitor.

One of the countries showing a significant potential for entrepreneurial activity is France, where FDI inflows grew 77% in 2017. While the FDI growth is reported to be mainly due to large M&A deals, there are reasons to believe that France will be one of the most alluring nations to pick up the slack of slowdown among other European countries. Among Europe’s 10 leading host countries for foreign investment, France is the only western European country in which industrial sectors attracted more than 50% of foreign investments.

Vote of confidence from defining players

A vote of confidence in the French tech sector and the economy has been cast by some of the most powerful corporations – Google and Facebook unveiled significant investments in France this Monday, according to the Financial Times. Not only is Google planning to open a new AI center in the country within weeks (its second in Europe after Zurich), it is also adding four Google Hubs across the country, which will focus on free training in online skills and digital literacy. The first of four centers will open i ...

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