China's FDI inflows hit record-high 1.15 trillion yuan in 2021
Updated 14:48, 14-Jan-2022
China's actual use of foreign capital in 2021 tops 1.1 trillion yuan. /CFP

China's actual use of foreign capital in 2021 tops 1.1 trillion yuan. /CFP

Foreign direct investment (FDI) into the Chinese mainland, in actual use, expanded 14.9 percent year on year to a record high of 1.15 trillion yuan in 2021, the Chinese Ministry of Commerce said on Thursday.

The figure, excluding the banking, securities and insurance sectors, expanded by 20.2 percent in U.S. dollar terms, ministry spokesperson Shu Jueting told a regular press conference. 

The robust growth came as China's long-term and sound economic fundamentals and constantly improving business environment retained an appeal to foreign capital, said Zhang Jianping, a researcher at the Chinese Academy of International Trade and Economic Cooperation under the ministry.

High-tech industries saw FDI inflows jump 17.1 percent from a year earlier, and cross-border investment in China's high-tech industries saw a year-on-year increase of 17.1 percent in 2021, outpacing the services sector that recorded a 16.7-percent jump during the same period, official data showed.

Investment in the Chinese mainland from countries along the Belt and Road and the Association of Southeast Asian Nations, respectively, surged by 29.4 percent and 29 percent in 2021 year on year, according to the ministry data. 

In regional terms, foreign investment into the eastern, central and western parts of China recorded a growth rate of 14.6 percent, 20.5 percent and 14.2 percent, respectively, last year. 

China will further expand its high-level opening-up, enhance its services for foreign-funded firms and projects, and make more efforts to optimize the business environment in 2022, Shu said.

In late December, authorities unveiled two shortened negative lists for foreign investment, which have both taken effect since January 1, 2022, as part of efforts to open up the economy more.

Off-limit items for foreign investors have been cut to 31 in the 2021 version of the negative list from 33 in the 2020 version, while the 2021 negative list for foreign investment in pilot free trade zones cut the number of items to 27 from 30.

This year, the ministry will make solid efforts to implement the negative lists and guide more foreign capital to invest in emerging fields, including advanced manufacturing, modern services, high-tech, energy conservation, environmental protection, and the digital economy, Shu added.

(With input from Xinhua) 

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