The World Investment Report 2010 marks its 20th anniversary edition and draws attention to investing in a low-carbon economy. The report illustrates global and regional trends in Foreign Direct Investment (FDI) followed by recent policy developments. Global FDI witnessed a modest, but uneven recovery in the first half of 2010. This sparks some cautious optimism for FDI prospects in the short run and for a full recovery in the future. Developing and transitional economies attracted half of global FDI inflows, and invested one quarter of global FDI outflows. Overcoming barriers remains a key challenge to attract FDI for small, vulnerable and weak economies. The chapter on leveraging foreign investment for a low carbon economy describes characteristics and scope of low-carbon foreign investment; its drivers and determinants; strategies and policy options; and sums up with global partnership to further low-carbon investment for sustainable development.