China and India have the highest economic growth potential, according to a new global index released by risk analysis firm Maplecroft.

The first half of 2012 witnessed a significant drop in FDI flows compared with the same period in 2011, according to a recent United Nations Conference on Trade and Development report.

Faced with a highly nationalistic electorate, particularly where China is concerned, resource-rich Mongolia has introduced a new foreign investment law aimed at protecting its natural assets. However, as its recent dispute with state-owned Chinese firm Chalco shows, the results could damage the country's international reputation.

The Arab Spring protests, and the months of political instability that followed, slowed FDI inflows into north Africa. But rather than pulling out of the region entirely, many investors simply put their projects on hold or moved into other more stable economies such as Morocco and Algeria.

South Korea has seen its export-focused economy slow in the global economic downturn, leading its government to launch a fiscal stimulus package to encourage growth and leaving investors hoping that the country can regain its momentum in the long term.

The recent discovery of oil in Uganda has the potential to transform the country. However, its finance minister is keen to avoid the mistakes of others, and any oil revenues will be spent on public services and transforming the country's export strategy into a more Africa-centric one.

As expansions increase at the expense of greenfield investment, taking an existing partner for granted could become a costly mistake.