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Home Country Macroeconomic Determinants of Chinese OFDI

  • William Wei
  • Ilan Alon
  • Liqiang Ni
Chapter

Abstract

Compared with foreign direct investment (FDI) inflows, Chinese outward foreign direct investment (OFDI) used to be quite small. According to UN statistics, China’s FDI inflow-outflow ratio was 6.4:1 in 2005 (Cheung & Qian, 2008). However, Chinese investment abroad has increased dramatically since 2007. In 2008, Chinese OFDI outflow reached US$52.1 billion, which equals China’s 2003 FDI inflow. In 2009, Chinese OFDI outflow was US$48 billion, more than double 2007’s outflow (US$22.5 billion) (UNCTAD, 2010). In 2010, it reached $57.9 billion. According to recent statistics from the Department of Outward Investment and Economic Cooperation of the Ministry of Commerce in the People’s Republic of China, US$255.4 billion has been designated for non-financial direct investment by Chinese investors to more than 15,000 enterprises in 174 countries and regions by the end of 2010.

Keywords

Exchange Rate Interest Rate Foreign Direct Investment Host Country Home Country 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© William Wei, Ilan Alon, and Liqiang Ni 2012

Authors and Affiliations

  • William Wei
  • Ilan Alon
  • Liqiang Ni

There are no affiliations available

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