The net inflow of capital in the US economy made up over $280 billion in October 2008, when the financial crisis reached its peak in many countries of the world.
The inflow in September made up $142.6 billion, in August - $17.1 billion, whereas July was marked with an outflow of $25 billion, a press release from the US Treasury said.
Private investors invested $274.5 billion in the United States in October, whereas contributions from state investors totaled $11.9 billion. Foreign investors’ investments in USA ’s long-term liabilities dropped by $13.3 billion. On the other hand, the dollars debts of banks considerably increased – by $207 billion.
The statistics from the US Treasury shows that investors preferred to direct their funds to the US economy at the time when the financial crisis was paralyzing the markets of many countries of the globe. The huge investments were made in the US economy in spite of the fact that the crisis began in the USA and caused the biggest damage to the US economy first and foremost.
The inflow of capital in the United States took place against the background of the outflow from developing markets. For example, about $50 billion were wired from Russia in October 2008, whereas about $100 billion are said to flow out of Russia in 2009.
Russia ’s wealthy citizens have already lost over $300 billion as a result of the crisis. Large state-run oil companies have lost over $700 billion. A recent report from the World Bank said that the Russian economy would have only a three-percent increase in 2009 against the background of a high inflation rate – 13 percent. It is worthy of note that the WB made its forecasts for Russia on the base of the average oil price – $101.5 per barrel in 2008 and $74.5 in 2009.
In a weary world of endless US military interventions, sanctions, trade tariffs and chaos, let’s pause and take stock of the shining house on the hill