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Inward and Outward FDI in China

In: China and the World Economy

Author

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  • Sandra Poncet

Abstract

An important part of the economic reform process in China has been the promotion of foreign direct investment (FDI). Investment began to flow into China after 1992, and annual inflows have been over US$40 billion since 1996. Trending steadily upward, FDI inflows were around US$70 billion in both 2005 and 2006. These inflows are by far the largest of any developing country. They have moreover remained remarkably stable and robust in spite of substantial fluctuations in the Asian and global economies. China has accounted for about one-third of total developing- country FDI inflows in recent years. In 2006, inflows to China reached an estimated US$69 billion, which represented 10% of world FDI flows.

Suggested Citation

  • Sandra Poncet, 2010. "Inward and Outward FDI in China," Palgrave Macmillan Books, in: David Greenaway & Chris Milner & Shujie Yao (ed.), China and the World Economy, chapter 6, pages 112-134, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-137-05986-4_6
    DOI: 10.1057/9781137059864_6
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    Cited by:

    1. Nguyen, Thi Tuong Anh & Doan, Quang Hung, 2016. "Chinese outward foreign direct investment: Is ASEAN a new destination?," MPRA Paper 71890, University Library of Munich, Germany.
    2. Chunyang Pan & William X. Wei & Etayankara Muralidharan & Jia Liao & Bernadette Andreosso-O’Callaghan, 2020. "Does China’s Outward Direct Investment Improve the Institutional Quality of the Belt and Road Countries?," Sustainability, MDPI, vol. 12(1), pages 1-21, January.

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