ODI Growth

The accumulated outbound direct investment (ODI) from China topped $1.8 trillion by the end of 2017, moving up to second place in world ranking, according to an official report.

“China has made investment in 189 countries and regions globally, with its accumulated ODI accounting for 5.9 percent of the world’s total,” said Zhang Xingfu, an official with the Ministry of Commerce (MOFCOM).

The report, published by MOFCOM, the National Bureau of Statistics and the State Administration of Foreign Exchange, also shows that China’s ODI was $158.29 billion in 2017 alone, ranking third in the world, following the United States and Japan.

However, China’s volume declined 19.3 percent year on year, the first drop since 2003.

Chinese authorities have reinforced scrutiny of the authenticity and compliance of ODI since the end of 2016, especially of projects which were not based on the real economy or failed to comply with the standards on environmental protection, energy consumption and safety.

Zhang said such scrutiny rendered investors more mature and rational, contributing to the upgraded structure in ODI.

Chinese companies will continue to invest overseas, said Zhang, adding that China wishes to achieve mutual development with host countries and people and foster global economic growth.