Spending more subdued in January & February 2025


Insight
Follow the money: The strength of China’s outward foreign investment during pandemic raises questions.
China’s outward foreign direct investment accelerated rapidly between 2000 and 2016 – initially to secure access to natural resources, before diversifying into a range of services and higher value technology sectors. Tighter regulation in subsequent years saw a decline in the flow of outward investment, however official data point to an increase in 2020, despite the negative impacts of the COVID-19 pandemic. These recent data are inconsistent with other international measures of China’s investment, raising questions around their accuracy.
For further details, please see the China Economic Update (April 2022)
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