Chinese FDI dropped to 4-year low

Noam Stiekema

The Chinese Foreign direct investment (FDI) plunge to 4-year low amid investigations against a number of multinational companies accused of violating local laws and unleashed a wave of discontent with USA. The boundaries of the Asian country have crossed 7.2 billion USD in August. This is 14% and 17% less than a year and a […]

Chinese FDI

Chinese FDIThe Chinese Foreign direct investment (FDI) plunge to 4-year low amid investigations against a number of multinational companies accused of violating local laws and unleashed a wave of discontent with USA. The boundaries of the Asian country have crossed 7.2 billion USD in August. This is 14% and 17% less than a year and a month earlier, according to the latest data from the Ministry of Commerce of China. Bimonthly declines are the first double-digit reductions since 2009, shows a reference to the news agency.

For the first eight months of 2014, FDI fell by 1.8% year on year to 78.3 billion USD. For comparison – the investment of Chinese companies abroad jumped 15.3% to 65.2 billion USD. The US Treasury Secretary Jack Lew accused Chinese authorities of using antitrust laws to force companies to cut prices to domestic consumers pay for their products. According to Liu such action would have a negative impact on bilateral trade relations, revealed to Bloomberg anonymous person familiar with the conversation.

FDI declines in July and August “not related” to the country’s anti-monopoly measures, assures trade ministry spokesman Shen Danya. The Liu’s complaint comes after criticism of the major European and American business lobbies in China. According to them, the authorities in the second largest economy discriminate against foreign corporations. Against a number of foreign companies are under investigation. In July antitrust authorities have started this against Microsoft, and state media have accused Apple, it uses its iPhone models to access public information.

Actions of regulators and the decline in foreign investment generates additional risks amid concerns that the Chinese government may not achieve projected for this year economic growth of 7.5%. The latest data on FDI come after the publication of information that industrial production growth was the weakest since the financial crisis.

Read this next

Retail FX

Weekly Roundup: eToro links up with Elon Musk, US crackdown on Russian FX

Let’s take a look back at top stories that dominated the financial markets in our Weekly Round coverage. This week’s digest takes a deep dive into the most recent events and trends within the Forex, Fintech, and cryptocurrency.

blockdag

Must-Watch Top 5 Crypto Picks for Q2 2024 Featuring BlockDAG, Toncoin, Solana and More

Dive into BlockDAG’s meteoric rise and explore other promising altcoins like Pepe, Toncoin, Solana, and Render for superior returns.

Retail FX

Clone of Admiral Markets draws FCA attention

The United Kingdom’s financial markets watchdog today unmasked another fraudulent entity, this time bringing to light a clone firm that has been posing as FCA-‎authorised brand, Admiral Markets UK Ltd.

Digital Assets

Gemini Earn users to recover $2.18 billion in crypto payouts

Cryptocurrency exchange Gemini has agreed to pay $50 million worth of digital assets to investors in its Gemini Earn program as part of a settlement with the New York Attorney General (NYAG), announced on Friday.

Fundamental Analysis, Market News, Tech and Fundamental

Global FX Market Summary: British Pound (GBP) Weakness, US Inflation, Euro, USD June 14 ,2024

British Pound weakens due to lower inflation expectations, potential policy changes from Reform Party, and broader economic concerns.

blockdag

Q2 2024’s Top 5 Cryptos to Buy: BlockDAG, Pepe, Toncoin, Solana and Render

Learn about 2024’s Q2 top 5 cryptos. Explore potential high-return and advancements of altcoins like BlockDAG, Pepe, Toncoin, Solana, and Render.

Fundamental Analysis, Tech and Fundamental, Technical Analysis

GBPCAD Technical Analysis Report 14 June, 2024

GBPCAD currency pair can be expected to fall further toward the next support level 1.7250, former strong resistance from last year.

Digital Assets

Binance acquitted of tax evasion in Nigeria, now faces AML charges

Nigeria has dropped tax evasion charges against two Binance executives, Tigran Gambaryan and Nadeem Anjarwalla, after the world’s largest cryptocurrency exchange appointed a local representative to handle court processes related to the allegations.

Digital Assets

Trezor launches new hardware wallet ‘Safe 5’ with fresh security features

Crypto hardware wallet manufacturer Trezor announced on Friday the launch of its latest flagship product, the Trezor Safe 5, featuring upgraded security to promote self-custody of digital assets.

<