Global Capital Flows: Q1 2025 13 March 2025
Asia Pacific's growing influence on global capital markets is reshaping investment dynamics, positioning it as a prime source and a top destination for global cross-border capital. With stabilising economic fundamentals and sustained investment momentum, the region continues to strengthen its appeal among investors seeking growth and stability.
Key highlights of the report include:
Asia Pacific
- APAC is home to four out the top 10 capital sources worldwide – Singapore, Hong Kong, Japan and China.
- Seven of the top 10 destinations for land and development sites globally located within Asia Pacific – China, Singapore, Australia, India, Malaysia, Vietnam and Japan.
- For standing assets globally, Asia Pacific remains a key player with Japan, Australia and China ranking among the top 10 destinations.
- The region has diverse investment appeal: Six sectors, led by office and industrial, saw US$183 billion in investment over the past 24 months.
- The office sector led the way with US $57billion, followed by industrial (US $55billion), retail (US $37billion), multifamily (US $17billion) and hospitality (US $15billion).
- Key source of global capital: Asia Pacific is home to four of the top 10 sources of capital – Singapore Hong Kong, Japan and China.
- Continued dominance as a global cross-border capital destination: With seven out of the top 10 destinations for land and development sites and three of the top 10 destinations for standing assets, the region is a magnet for cross-border capital.
Global
- Investment volumes increased in the final quarter of last year due to global interest rate cuts.
- Industrial is back to being the leading global sector of choice.
- Hospitality is the fastest-growing preferred asset class for global cross-border investors.
