💡 Introduction
As global capital looks for stability, innovation, and long-term growth in 2025, Europe has re-emerged as a strategic investment destination. From tech unicorns to renewable megaprojects and industrial reshoring, foreign direct investment (FDI) is once again flowing into key EU markets.
But not all countries are attracting equal attention. Some nations have turned policy clarity, skilled labor, and infrastructure into magnet-like advantages — while others still struggle to offer investor confidence. This ranking dives into the top 10 EU countries attracting foreign investment in 2025, backed by the latest data, sector trends, and political factors influencing the capital flow.
Whether you’re tracking market confidence, startup climate, or global supply chain realignments, these are the countries where the world is placing its bets.
📌 Key Highlights
💸 Germany, France, and the Netherlands lead FDI attraction in 2025
🌱 Green energy, AI, and logistics are top investor targets
📈 Eastern EU countries see strong growth from tech and reshoring
🧠 Talent access and political stability remain key factors for capital flow
🏗️ EU Recovery Funds and tax incentives are reshaping national competitiveness
📚 Table of Contents
🇩🇪 1. Germany
Germany continues to lead Europe in attracting foreign direct investment (FDI), with over €72 billion in inflows during 2024, driven by its industrial backbone, green energy expansion, and booming AI and automotive sectors. Investors are targeting not just major cities like Berlin and Munich but also Tier-2 innovation hubs like Leipzig and Düsseldorf.
The country’s skilled labor force, deep manufacturing ecosystem, and commitment to long-term R&D make it a preferred choice for global firms establishing European headquarters or expanding supply chains within the EU.
Recent geopolitical shifts — including the EU’s strategic autonomy push — have only increased Germany’s appeal as a stable, rule-based economy in an uncertain global landscape.
🇫🇷 2. France
France remains a top-tier destination for foreign investment, securing nearly €58 billion in FDI during 2024. Much of this growth stems from government-backed innovation zones, green industrial projects, and France’s growing defense and aerospace industries — including partnerships with global firms in Normandy and Toulouse.
Macron-era structural reforms and labor flexibility continue to pay dividends, as companies value France’s central EU location, skilled workforce, and increasingly startup-friendly tax regimes. Paris, Marseille, and Lyon are focal points — but rural regions are also drawing investor interest via REPowerEU and regional digitization programs.
France’s resilience strategy, tied to energy independence and strategic production, aligns with global capital seeking long-term stability.
🇳🇱 3. Netherlands
The Netherlands continues to punch above its weight as a magnet for global capital. In 2024, it received an estimated €51 billion in FDI, driven by its world-class logistics network, favorable corporate tax structure, and reputation for transparency and legal consistency.
Rotterdam and Amsterdam remain global hubs for trade, data, and finance — with increasing interest from renewable energy investors, biotech firms, and fintech startups. The country’s strong bilingual workforce and streamlined regulatory processes make it a go-to destination for multinationals expanding in Europe.
As the EU emphasizes smart trade corridors and cross-border tech infrastructure, the Netherlands remains one of the most strategically connected investment locations in Europe.
🇮🇪 4. Ireland
Ireland’s consistent position as a European base for global tech and pharma giants has kept it near the top of FDI rankings. In 2024, the country attracted approximately €46 billion in foreign investment, with new commitments from U.S.-based software companies, financial services groups, and life sciences manufacturers.
Its 12.5% corporate tax rate, English-speaking workforce, and business-friendly policies continue to make it a preferred choice for companies navigating post-Brexit Europe. Dublin, Cork, and Galway are evolving into dynamic hubs for cloud services, MedTech, and digital finance.
Ireland’s biggest FDI advantage remains its policy consistency, tech infrastructure, and high ease of doing business compared to larger continental economies.
Source: IDA Ireland – FDI Results 2024
🇪🇸 5. Spain
Spain has mounted a strong FDI comeback post-pandemic, attracting close to €39 billion in 2024. Major inflows came from green energy projects, AI research parks in Barcelona, and tourism-focused tech infrastructure across Andalusia and the Balearics.
Its strategic location, well-developed transport system, and EU-funded climate innovation hubs have made it one of the hottest destinations for investors in sustainability and digital transformation. Spain also benefits from a growing pool of bilingual professionals and a government actively courting foreign capital through policy incentives.
With new innovation districts and digital nomad visa schemes, Spain is balancing lifestyle appeal with hard economic competitiveness.
🇵🇱 6. Poland
Poland is rising fast as a manufacturing and logistics magnet in Central Europe. In 2024, it attracted over €33 billion in foreign investment, with global automakers, chip manufacturers, and e-commerce logistics firms expanding operations in regions like Katowice, Wrocław, and Łódź.
Investors are drawn by Poland’s large skilled workforce, stable macroeconomic fundamentals, and growing regional connectivity via the Three Seas Initiative. Despite ongoing political tensions, Poland remains attractive to firms seeking proximity to both EU and Eastern markets.
As explored in our recent feature on Poland’s political and talent paradox, the country’s future hinges on aligning its innovation economy with deeper institutional reforms.
🇸🇪 7. Sweden
Sweden remains one of Europe’s most innovation-driven economies, attracting approximately €29 billion in foreign investment in 2024. Global capital is increasingly flowing into Stockholm’s fintech scene, Gothenburg’s green manufacturing initiatives, and national AI research hubs.
With high institutional trust, a transparent legal system, and cutting-edge digital infrastructure, Sweden appeals to investors seeking sustainability, speed, and low regulatory friction. Foreign companies also benefit from generous R&D credits and one of the most digitally skilled populations in the EU.
As the climate economy grows, Sweden is positioning itself not just as a green leader — but as a reliable, future-focused capital destination.
🇨🇿 8. Czech Republic
The Czech Republic continues to benefit from its strategic location, EU industrial ties, and manufacturing depth. In 2024, it attracted over €25 billion in foreign investment, largely from automotive suppliers, electronics manufacturers, and logistics firms reshoring supply chains closer to Western Europe.
Prague, Brno, and Ostrava have become hotspots for advanced manufacturing and engineering services, supported by technical universities and growing R&D partnerships. Investors also appreciate the Czech Republic’s competitive labor costs and stable fiscal outlook.
As supply chain diversification continues in 2025, the Czech Republic is quietly strengthening its position as a reliable industrial anchor in Central Europe.
🇷🇴 9. Romania
Romania is climbing rapidly on Europe’s investment radar, pulling in nearly €22 billion in FDI in 2024 — the highest in its history. Multinationals are attracted by the country’s fast-growing digital economy, large IT workforce, and expanding transport infrastructure tied to EU-backed modernization.
Bucharest and Cluj-Napoca are hotspots for foreign tech firms and outsourcing giants, while Romania’s renewable energy potential is drawing interest from Nordic and Middle Eastern investors. Labor availability and cost efficiency also give it a competitive edge in reshoring strategies.
As Romania improves its public administration systems and court efficiency under EU supervision, confidence among foreign capital providers is steadily rising.
🇭🇺 10. Hungary
Hungary rounds out the top 10 with approximately €20 billion in foreign direct investment in 2024, largely from Asian automotive and battery manufacturers. The country is positioning itself as a hub for EV production and industrial logistics — especially along the Danube corridor.
While Hungary’s political direction has strained its EU relationships, its economic pitch to Chinese and South Korean investors has resulted in massive inflows, including gigafactories and auto parts plants. Debrecen and Győr are among the fastest-developing industrial zones in Central Europe.
Hungary’s challenge in 2025 remains balancing geopolitical neutrality with maintaining access to Western markets and EU funding — a tightrope investors are watching closely.
✅ Conclusion
Europe’s investment map in 2025 reveals a clear shift. Capital is no longer just following GDP size — it's chasing stability, innovation, and strategic value. From Germany’s industrial engine to Romania’s rising digital backbone, the EU landscape offers diverse opportunities to global investors seeking both maturity and momentum.
While traditional powerhouses like France and the Netherlands remain dominant, the real story lies in the emergence of Central and Eastern European economies — who are now blending talent, infrastructure, and geopolitical positioning to become the continent’s new investment hotspots.
📊 Top 10 EU Countries by FDI Inflows (2024)
Source: UNCTAD, EU Country Reports, National Investment Agencies
As the global economy continues to realign, foreign investment isn’t just an economic indicator — it’s a vote of confidence. And in 2025, these ten EU nations are earning that vote.