Location consultants and foreign direct investment (FDI) specialists from across the world were surveyed for the rankings. They were asked where companies will be locating 10 years from now.
Birmingham was recognised alongside investment hotspots including Ireland and Germany in Western Europe – with the region praised for its high quality infrastructure, affordability, education provision and skilled workforce. No Eastern European cities were listed by the experts surveyed.
Sir Albert Bore, Leader of Birmingham City Council, said: "A decade of investment into Birmingham is now coming to fruition. Schemes including the £600 million transformation of New Street station are about to finish, while projects such as HS2 are moving forward quickly."
The respondents also identified the industries expected to attract investment in Western Europe. Several mirrored Birmingham's priority sectors for FDI – including automotive, tech, manufacturing, financial services and life sciences.
Wouter Schuitemaker, Investment Director at inward investment agency Business Birmingham, added: "Our strategy to attract inward investment has always targeted sectors that will create the greatest economic impact and employment for Birmingham. Initiatives such as the city's economic zones provide facilities and support tailored to industries with very specific needs in areas such as connectivity, infrastructure and recruitment."
Birmingham attracted a record 48 FDI projects in 2014/15. Firms locating or expanding in the city included Jaguar Land Rover, KPMG, Virgin Media, tech firm Uber and manufacturer HydraForce, which is relocating to the city's Advanced Manufacturing Hub.