China June FDI rises for 16th straight month
Published on Jul 15, 2014 11:26 AM
BEIJING (Reuters) - China's foreign direct investment (FDI) inflows rose at an annual pace of 2.2 per cent in the first six months and were up only modestly for June, indicating cautious investor optimism about the world's second-largest economy.
The Commerce Ministry said on Tuesday that China attracted US$63.3 billion (S$78.5 billion) in foreign direct investment in the first six months. June inflows rose 0.2 per cent from a year earlier to US$14.4 billion, its 16th straight month of gains.
FDI is an important gauge of the health of the external economy, to which China's vast factory sector is oriented, but it is a small contributor to overall capital flows compared with exports, which were worth about US$2 trillion in 2013.
FDI inflows in China have maintained steady growth every year since the country joined the World Trade Organization in 2001. Inflows reached a record high of US$118 billion in 2013.
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