Tag Archives: China FDI

China’s FDI to maintain steady growth this year: Commerce Ministry

BEIJING, April 19 (Xinhua) — Foreign direct investment (FDI) in China will likely sustain steady growth this year, the Ministry of Commerce (MOC) said Tuesday, highlighting robust inflow in western regions and acquisitions.

“It [annual FDI] may not increase very fast but will maintain the growth momentum seen last year and in the first quarter [Q1] of this year,” MOC spokesperson Shen Danyang told reporters.
FDI in western regions posted strong growth in Q1, outpacing the national total with a 42.5 percent jump year on year to reach 21.3 billion yuan (3.3 billion U.S. dollars), he said.
Great potential in the service industry and a relatively low base of comparison contributed to the surge in western regions, Shen explained.
FDI to the Chinese mainland rose 4.5 percent year on year to 224.2 billion yuan in Q1, slowing from 6.4 percent in 2015. But year-on-year growth in March was higher at 7.8 percent, official data showed.
Shen said mergers and acquisitions (M&As) were more active, playing an increasing role in FDI growth.
Investment inflow in the form of M&As rose 32.6 percent year on year in Q1 to 7.8 billion U.S. dollars. It accounted for 22.7 percent of the overall FDI, up from 17.9 percent a year earlier, according to Shen.
M&As by foreign investors remained active in China, he said, counter to a recent report by accounting firm KPMG, which claimed inbound deals fell last year.
The number of foreign-invested M&A deals rose 14.4 percent to 1,466 in 2015, with realized investment soaring 137 percent to 17.8 billion U.S. dollars, Shen noted.
The Chinese government continues to welcome foreign investment through M&As, he said.  Enditem

 

 

 

 

China FDI growth to pick up amid challenges: vice minister

BEIJING, July 18 (Xinhua) — Foreign direct investment (FDI) in China will rebound in 2015 on the back of a robust expansion in the first six months, Vice Commerce Minister Wang Shouwen has said.

Wang expected the FDI in China for the whole 2015 to grow around four percent to 125 billion U.S. dollars, compared with a 1.7-percent expansion recorded in 2014.

Official data showed on Friday that the FDI rose eight percent in the first half of the year to 68.4 billion U.S. dollars, accelerating sharply from 2.2 percent in the same period last year.

Wang attributed the improvement to China’s continued efforts in widening pilot reforms in free trade areas, fewer government restrictions and active promotion of opening up in certain industries and inland areas.

However, he warned that FDI growth will probably drop in the latter half mainly due to a slow economic recovery in major FDI sources and the tapering of U.S. quantitative easing.

China became a net capital exporter for the first time in 2014 when the FDI was outnumbered by outbound direct investment (ODI).

In the first six months of 2015, China’s ODI grew 29.2 percent to 56 billion U.S. dollars, a higher speed but less volume than that of the FDI. Enditem