China’s ODI exceeds $100 billion in first 11 months

By Wang Ke, People’s Daily

 

Domestic investors made $104.48 billion of non-financial outbound direct investment (ODI) in 5,213 overseas enterprises in 157 countries and regions from January to November, according to the Ministry of Commerce (MOC).

 

The ODI in the period remained flat with last year, an official from the Department of Outward Investment and Economic Cooperation with the MOC said on Dec. 14.

 

In the first 11 months, $185.31 billion worth of engineering contracts and a turnover of $138.01 billion were seen, the same as that of last year.

 

China’s outward investment and cooperation yielded fruitful results in the first 11 months. Steady progress was seen in investment in and cooperation with Belt and Road countries.

 

ODI in 56 countries along the Belt and Road rose 4.8 percent year on year to $12.96 billion during the period.

 

The structure of outbound investment continued to improve and irrational investment was effectively contained.

 

The investment from China mainly went to industries such as leasing and business services, manufacturing, mining, and retail and wholesale sectors, each accounting for 38.2 percent, 15.7 percent, 8.2 percent, and 8.5 percent respectively of the total investment.

 

No new projects were reported in sectors such as property development, sports and entertainment.

 

In the first 11 months, Chinese enterprises carried out cross-border mergers and acquisitions in an orderly manner, and continuously innovated the ways of investment.

 

330 cross-border mergers and acquisitions were conducted in 52 countries and regions across the globe, realizing an actual transaction volume of $ 62.24 billion in total.

 

Positive achievements were made in the construction of cooperation zones, and mutual benefits and win-win results were yielded.

 

By the end of November, China had set up 113 overseas economic and trade cooperation zones in 46 countries with a total investment of $42.14 billion, creating 302,000 local jobs.

 

The signing of new major foreign projects undertaken by Chinese companies in the first 11 months boosted China’s exports and the economic and social development of the host countries.

 

In the first 11 months, 47 foreign projects worth more than $500 billion were signed, providing 823,000 jobs for local residents.

 

China’s exports driven by overseas projects amounted to $15.53 billion in the first 11 months, an increase of 13 percent year-on-year.