Belgium Continues to Stands Out as Key European Investment Hub

In a year marked by falling investment volumes across Europe’s major economies, Belgium stood out by punching above its weight. According to the 2025 EY Belgian Attractiveness Survey, the country maintained its 8th place in Europe for project-based international investment - despite its relatively small size and the overall drop in foreign capital deployments.

These investments - referred to as foreign direct investment (FDI) - involve international firms establishing or expanding physical operations in Belgium, from manufacturing sites to R&D hubs. As a leading signal of long-term confidence, FDI performance is a powerful proxy for a country’s perceived stability, growth potential, and operational competitiveness.

At openthebox, where we mine private market signals across fragmented ecosystems, this is more than a macro datapoint - it’s a directional cue for private equity, M&A intermediaries, and strategic investors looking to anticipate where capital will concentrate next. Here’s what we’re seeing, and why Belgium’s mid-market just became even more investable.

Key Findings from the 2025 EY Survey

• Investment Stability Amid Broader Decline
  
  • While France and Germany saw double-digit drops in project volumes, Belgium held steady - a sign of its risk-adjusted appeal for international firms navigating geopolitical and economic volatility.
• Higher Value per Project
  
  • Each investment in Belgium is linked to more job creation, suggesting a tilt toward strategic, capital-intensive deployments in logistics, life sciences, and advanced manufacturing.
• Sectoral Magnetism
  
  • Belgium continues to attract investment in pharma, software, cleantech, and distribution infrastructure - sectors where its geography, workforce, and ecosystem density provide long-term advantage.

What This Means for Private Equity

Belgium’s international investment performance reinforces its position as a compelling mid-cap market for funds seeking strong fundamentals, real economy exposure, and defined exit channels.

• Strategic Buyers Are Returning
  
  • New market entrants often start via acquisition. The continued flow of international corporates into Belgium expands the buyer universe for exits, particularly in healthcare, B2B services, and tech-enabled industries.
• Platform Potential in Fragmented Markets
  
  • With deal volumes stable and sector interest rising, Belgium is ripe for platform builds in verticals like industrial services, waste management, and specialized SaaS.
• Improved Narrative for LPs
  
  • For Belgium-based or Belgium-focused GPs, this performance strengthens the fundraising case: a stable, undercapitalized market with clear international validation.

What This Means for M&A Advisors, Search Funds & Brokers

1. Cross-Border Buyer Interest Is Intensifying

International acquirers are actively sourcing mid-sized, founder-owned targets. Local advisors with proprietary deal access can offer differentiated visibility into an otherwise opaque mid-market.

2. Sell-Side Expectations Are Rising

Global buyers bring global standards. Local firms need to elevate their advisory capabilities across vendor due diligence, process design, and post-deal integration planning.

3. Searchers Should Position for Platform Fit

Belgian targets that are scalable, well-governed, and add-on ready are increasingly in demand. Searchers who can articulate this to international buyers will see stronger deal traction.

4. Valuation Complexity Is Increasing

As foreign capital competes for limited high-quality assets, valuation gaps between buyers and sellers are becoming more frequent. Advisors must lean into creative structuring tools - earnouts, rollover equity, deferred pricing - to close deals.

5. Geographic and Sectoral Precision Matters

Not all parts of Belgium - or all sectors - are equal in the eyes of international buyers. Advisors who map investor attention by province and industry will be better positioned to bring the right deals to the right tables.

Belgium’s Moment: Understated, But Undeniable

While it rarely dominates headlines, Belgium continues to offer a high-yield, low-volatility proposition for international capital. Its resilience in 2025 is more than a blip - it’s the latest in a multi-year trend of consistent performance that outpaces its size.

At openthebox, we help deal professionals and investors:

• Identify Belgian companies aligned with inbound investor appetite - based on sector, size, and ownership profile.
• Detect early indicators of owner intent, succession dynamics, and financial performance inflection points.
• Monitor buyer activity and capital deployment patterns across Belgium’s private markets.

Global capital is flowing into Belgium. Are you positioned to lead the next deal?