China FDI up 5.6 per cent in 2015
Beijing, January 14
Foreign investment into China accelerated in 2015 as cash poured into the country’s service sector, official data showed today, despite slowing expansion in world’s second-largest economy.
Foreign direct investment (FDI), which excludes the financial sector, rose 5.6 per cent from the previous year to $126.3 billion, according to figures from the commerce ministry.
That is more than triple 2014’s growth of 1.7 per cent.
Investment from overseas has been a key element of China’s economic boom in recent years, but as it matures the Asian giant is increasingly becoming a source of funds as much as a destination. Figures for China’s own overseas direct investment will be released at a later date.
Companies that have received foreign investment were responsible for nearly half of China’s foreign trade, around 14 per cent of urban jobs and 20 per cent of tax revenues, said a statement with the figures.
The pick-up in FDI was driven by strong expansion in investment into the service sector, which has held up well despite growth momentum in the overall Chinese economy weakening as it matures. FDI into the service industry jumped 16.6 per cent to $77.2 billion last year, sharply outpacing the 7.6 per cent increase in 2014.