China's FDI inflow grows 5.25% in 2013

Foreign direct investment (FDI) in the Chinese mainland increased 5.25 percent year on year in 2013, official data showed Thursday, rebounding from a fall in 2012. The growth came as a change from the 3.7 percent decline registered in 2012, when the country faced economic weakness in emerging markets and growth slowdown at home, worrying global investors. Total FDI reached 117.59 billion U.S. dollars last year, the Ministry of Commerce spokesman Shen Danyang said at a press conference. In December alone, the country's FDI inflow rose 3.3 percent from a year earlier to 12.08 billion U.S. dollars, according to the ministry. Shen expected a steady inflow of FDI in 2014 amid a recovering global economy and improving investment environment within China as the country's policy makers rebalance the economy by boosting domestic demand. He said FDI in the service sector gained 14.15 percent in 2013 to reach 61.45 billion U.S. dollars, or 52.3 percent of the total. FDI in the manufacturing sector dropped 6.78 percent to 45.56 billion U.S. dollars. The ministry data showed FDI from the United States expanded 7.13 percent from one year earlier to 3.35 billion U.S. dollars last year, while that from the European Union was up 18.07 percent to 7.21 billion U.S. dollars. However, FDI from Japan fell 4.28 percent to 7.06 billion U.S. dollars, while the Chinese mainland's investment in Japan's non-financial sector plunged 23.5 percent last year. The country's total investment in overseas non-financial sectors increased 16.8 percent year on year to 90.17 billion U.S. dollars last year, the ministry said. Shen said the amount of the country's overseas investment may outnumber its FDI inflow in the coming one or two years, and the government will balance efforts to attract FDI and boost overseas investment.