Here is an interesting Smart Money article by Reshma Kapadia and Anojia Shah about foreign dividend stocks. The article talks about the higher dividend growth rates of Asia and Europe versus the US as well as higher dividend yields. They run a screen to uncover 5 high yield foreign stocks. Five Overseas Dividend Stocks With Strong Yields

Once largely ignored, foreign dividend stocks may become one of the best plays in the booming overseas markets. They have better growth prospects than many of their stateside counterparts and a new focus on returning money to shareholders. European and Asian companies have strengthened balance sheets and adopted a more shareholder-friendly stance in recent years, recognizing that a dividend signals strong management and financial health. And since share buybacks aren't as common as they are in the U.S., foreign companies have more money to devote to dividends. The 3% yield offered by European companies is well above the 1.8% average yield of stocks in the Standard & Poor's 500. The Asia-Pacific region also comes out ahead of the U.S., with an average yield of 2.5%.

The best dividend stocks keep rewarding investors long after they are purchased, and overseas companies come out ahead here, too. Over the past three years, Asia-Pacific dividends have been growing at 20% a year; Europe, at 18%; and the U.S., at 13%, says Martin Jansen, manager of the ING International High Dividend Equity Income fund. That growth could easily continue: The rest of the world economy is expected to expand at a faster pace than the U.S., and corporate restructuring in parts of Europe should free up more cash to return to shareholders.

We started our search for "pay me now" gems by sticking to foreign stocks traded in the U.S. as American Depositary Receipts. Because their dividends are taxed like those of U.S. companies, ADRs avoid the headache of figuring out the foreign countries' tax rules. We narrowed the list to companies with dividend yields of at least 2.7% — 50% higher than the S&P 500's average. (We also found some paying much more than that, including two emerging-market stocks yielding around 7% and 9%.) Finally, since we want companies that can sustain and even increase their dividends, we looked for those with plenty of cash flow. How long such bargains will last is anyone's guess. But as the oldest of baby boomers start collecting Social Security in the coming years, lots of people will be hunting for income.

Company and Yield
Total (TOT) 3.5%
CPFL Energia (CPL) 9.0%
Magyar Telekom (MTA) 6.8%
AXA (AXA) 3.4%
Taiwan Semiconductor (TSM) 4.4%

The Div Guy does not own any of the stocks in this article at the time of this post.