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China's FDI inflow up 37.9% in first two months

Xinhua | Updated: 2022-03-14 15:56
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A photo shows the view of CBD area in downtown Beijing, capital of China. [Photo/Sipa]

BEIJING - Foreign direct investment into the Chinese mainland, in actual use, expanded 37.9 percent year-on-year to 243.7 billion yuan in the January-February period, the Ministry of Commerce (MOC) said Monday.

In US dollar terms, the inflow went up 45.2 percent year-on-year to 37.86 billion dollars.

The service industry saw FDI inflows jump by 24 percent year-on-year to 175.7 billion yuan, while that of high-tech industries surged by 73.8 percent from a year earlier, data from the ministry shows.

During the period, investment from countries along the Belt and Road and the Association of Southeast Asian Nations climbed by 27.8 percent and 25.5 percent, respectively.

China has remained one of the top investment destinations for foreign companies, with nearly 60 percent of German companies in China reporting improved business operations last year and 71 percent planning further investment in the country, according to a report released by the German Chamber of Commerce in China and KPMG.

The country has broad prospects for attracting foreign investment in 2022, said Nie Pingxiang, a researcher with the Chinese Academy of International Trade and Economic Cooperation under the MOC.

More FDI will flow to the services industry as the sector has seen improvements in institutional opening-up, Nie said, adding that central and western regions will embrace more opportunities due to the country's pursuit of coordinated development.

China will make greater use of foreign investment and encourage foreign-invested enterprises to move into a broader range of sectors, according to this year's government work report.

The country will support more foreign investment in medium- and high-end manufacturing, research and development, and modern services, as well as in the central, western and northeastern regions, the report said.

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