Amsterdam-Rotterdam region climbs in rankings

The urban region of Amsterdam and Rotterdam now ranks third worldwide as a location for foreign direct investment (FDI), according to IBM’s new Global Location Trends report (2016). The report, which ranks 20 metropolitan areas around the world, examines the attractiveness of various countries, regions and cities in terms of FDI. It based its results on companies’ plans to locate new operations outside of their main region and country.

By taking third place in the survey, Amsterdam-Rotterdam outranked many larger urban regions around the world. London and Paris remained at first and second place respectively.

Positioning the Amsterdam-Rotterdam region

Part of this success is due to concrete decisions that these two cities have made. “The Dutch metropolitan area of Amsterdam-Rotterdam moved into third,” the report says, “after positioning itself for business services and ICT investment.”

“In fact,” the report continues, “many foreign companies now view it as a preferred entry-point for the European market.”

Amsterdam-Rotterdam as a solid long-term investment

FDI is an important economic indicator, not only because of the jobs it creates, but also because it signals a continued interest in strategic investments, especially among companies that are internationalising and seeking new opportunities.  

A city’s attractiveness owes a great deal to its wider urban metropolitan area. The availability of people and skills is concentrated in urban areas such as Amsterdam-Rotterdam, and this is what makes them preferred destinations for companies. Cities and urban regions can also have their own specific value proposition. At the same time, international competition between cities is intensifying, leading companies to explore new options.