31 May Canadian resources firms invest record $11.5 billion abroad in Q1
Canada-based energy and mining companies invested a net US$11.5 billion (C$15.5 billion) outside of the country in the first three months of 2019, according to a new report by Statistics Canada.
This level of foreign investment from the sector is almost double the previous quarterly record, and suggests that Canadian resources firms may now be seeking alternative investments outside of the domestic industry.
Meanwhile, investment into Canada’s energy and mining sector from abroad was just C$123 million in the first quarter of the year, bringing the total sum of investment in the last four quarters to C$2.8 billion.
Global interest in Canadian resources companies has fallen away since oil prices began dropping at the end of 2014. Before that, foreign direct investment in the sector peaked at C$22 billion in 2013.
Across all industries, foreign direct investment fell in Q1 to C$12.9 billion from C$17.6 billion in the final three months of 2018.
However, the manufacturing sector went against the grain, showing a sharp increase in foreign investment during the first quarter of the year.