ELI5: Explain Like I'm 5

Foreign direct investment

Foreign Direct Investment (FDI) is when an individual, company, or government from one country invests money in businesses, projects, or property in another country. A good example of FDI would be a U.S. company buying a factory in Japan, or a German company setting up a store in the United States. This type of investment allows people and businesses in different countries to get
involved in each other's economies, which can help create jobs, boost trade, and make the world a more connected place.