Influence of Outward Foreign Direct Investments on China’s Economy

Abstract :

The article considers the influence of China’s foreign direct investments implementation on the national economy. Special attention is given to the application of Chinese experience to the foreign direct investment theory, which tells about mainly positive effect of China’s investment cooperation with foreign countries on its economic growth. Based on the theoretical and empirical research analysis, it is established that several negative outcomes of Chinese companies’ foreign investment activity can be levelled for national economy because of economic model peculiarities in China. The main impacts of China’s foreign direct investments implementation on the national economy are described according to the existing approach to the foreign direct investments analysis. The author distinguishes and describes the main types of FDI economic impacts on Chinese economy, including commercial, financial and also connected with transfers of tangible and intangible assets. The author points out that positive impact of foreign investments on China’s economic growth is demonstrated by using physical and non-physical resources received from abroad on internal market.