Back in 2020, as the COVID-19 pandemic disrupted the global economy, investment promotion agencies (IPAs) shifted their focus from attracting new investors to retaining existing ones. This shift underscored the strategic value of aftercare—not only as a crisis response, but as a foundational component of modern investment promotion. Today, with global FDI flows under pressure and protectionist trends on the rise, aftercare remains more relevant than ever. Supporting existing investors has become a vital strategy for economic resilience, job retention, and long-term competitiveness.
The power of effective aftercare is reflected in reinvestment rates. In advanced regions like Baden-Württemberg, reinvestments account for up to 30% of closed projects. Given that foreign firms often compare multiple global sites when planning expansions, high-quality aftercare—ranging from administrative support to workforce development—can be the deciding factor. IPAs must therefore build strong, ongoing relationships with investors and demonstrate that their location remains a compelling choice for future growth.
To be truly effective, aftercare must move beyond reactive troubleshooting and become a strategic service. This starts with identifying high-potential investors and proactively addressing their evolving needs. Increasingly, IPAs are using digital platforms to enable this. Cambodia’s online supplier database and Oman’s investor-local matchmaking platform are just two examples of how digital tools can promote local linkages and sustainable investment. Regular forums—like executive clubs or sector roundtables—also help surface shared challenges such as talent gaps, allowing IPAs to co-develop solutions like reskilling initiatives or policy advocacy.
Ultimately, aftercare is about creating an environment where investors can succeed and reinvest with confidence. This requires IPAs to dedicate sufficient resources, shift their mindset from pure attraction to long-term partnership, and collaborate closely with other public and private actors. By leveraging data, digital platforms, and direct engagement, IPAs can ensure that existing investors continue to view their location not just as viable, but as essential to their global operations.