Which countries attract the most foreign investment? - France, the main destination in Europe. Followed by Britain and Germany
Foreign investment is widely seen as a key driver of economic growth, innovation, and job creation. When companies open new locations, build factories, or establish research centers, they not only bring capital to a country, but often create jobs and strengthen local supply chains.
As a result, competition to attract international investors has intensified. Governments use investment incentives, tax breaks, and international investment forums to persuade companies to choose their markets.
To gauge the competition for international investors, the EY Europe Attractiveness Survey provides a useful benchmark. According to the latest edition of the survey, 5,026 new investment projects were announced across Europe in 2025, with EY defining the continent as a geographical region rather than the European Union. The figure was 7% lower than in 2024 and marked the lowest level in 11 years.
Despite a significant decline, France maintained its position as Europe’s top destination for foreign investment. The number of projects fell by 17% to 852 in 2025, representing the largest decline among major investment destinations in Europe. The United Kingdom came in second with 730 projects, 14% fewer than the previous year.
Germany remained the third largest destination in Europe for foreign investment, with 548 projects. However, the total fell by 10%, reaching the lowest level since 2009.
Among the best-performing countries in 2025 were Spain and Turkey. Spain increased the number of investment projects by 20% to 383, ranking fourth. Turkey followed closely with 376 projects, an increase of 7%, ranking fifth.
Poland continued its upward trend, registering 285 investment projects in 2025, a 10% increase from the previous year. This made it the sixth largest destination for foreign investment in Europe. The Netherlands was also among the few countries to record growth, with projects increasing by 8% to 159.
The United States remained the largest source of foreign investment projects in Europe in 2025. American companies announced 943 projects across the continent, maintaining their position as the leading foreign investor in Europe.
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