Global: Capital flows to developing countries declining

Net capital flows to developing countries fell to $780 billion in 2008, reversing an upward trend that began in 2003 and peaked at $1,222 billion in 2007, according to a new report from the World Bank. The report states that particularly hard hit were private capital flows, which fell by almost 40 percent, adding that all developing regions were affected, with emerging market economies in Europe and Central Asia experiencing the sharpest downturn.