6.1 Direct investment capital is capital provided by a direct investor, either directly or through other direct investment enterprises related to that investor, to a direct investment enterprise. Conversely, direct investment capital is capital received by a direct investor from a direct investment enterprise. Direct investment capital includes equity capital, reinvested earnings, and other capital involving various intercompany debt transactions. Direct investment capital includes only funds actually provided; funds for which the direct investor merely makes the arrangements or guarantees repayment are not considered to be direct investment capital.
International Monetary Fund Copyright © 2010-2021. All Rights Reserved.