Emerging multinationals: outward FDI from the BRICS countries

Outward foreign direct investment from emerging and developing economies has undergone important quantitative and qualitative changes over the last decade. This paper takes stock of the mounting outward investment flows with special focus on China, India, Brazil, Russia, and South Africa ('BRICS'). Following a brief discussion of FDI and emerging economies in general it is suggested that the current increase in outward investment from emerging and developing economies may constitute a third 'wave', distinct from the two previous waves depicted in the literature. The contours of such a wave are outlined, followed by an empirical analysis of outward investment from the BRICS countries.