海龟浮上海面

1. Chinese media chiefs ordered to toe the line
   
   
2. China bans vulgar ads in print media
   
   
3. Conference seeks clearer image for nation
   
   
4. Communist party editor sacked
   

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State Council's "Opinions on encouraging and regulating overseas investments by Chinese enterprises"

Investing overseas is not new for Chinese firms. China's overseas direct investments (ODI) in 2005 has reached over US$57 billion, more than double the year before. The newly approved guideline seems to stress the need to prevent competition among Chinese businesses. But the increase of ODI may to certain extend help to release the pressure on Renminbi appreciation. However, China's ODI 2010 projection (US$60 bn) is fairly low-key, despite of the country's national capacity.

Global Policy Forum: Articles about Foreign Direct Investment

Global Foreign direct investment (FDI) has increased tenfold over the last 20 years. It rose by 29% in 2005 to $916-billion.

FDI can bring impressive growth, as in China's coastal provinces, but also instability and economic distress, as during the 1997-98 Asian financial crisis. Governments of many poor countries see foreign capital as a means of economic growth, and they have taken steps to attract it. These steps often include minimizing business regulation and weakening codes for labor, health, and the environment. Such governments may also try to improve the investment climate by using violence to silence opposition parties and movements.

Rich countries, for their part, have sought legal protection for investors, and have used the World Bank and the IMF to impose new arrangements in this field. Bilateral and multilateral agreements, such as the North American Free Trade Area, protect investments at the expense of environmental and health regulations. The proposed Multilateral Investment Agreement (MIA), under negotiation at the WTO, would replicate this imbalance at the global level.

At GPF, you'll find a lot of worth reading articles about the good and evil of FDI.

Investors from Emerging Markets Burst onto the FDI Scene as Rivals for Western Multinationals

"The emergence of these multinationals from the South marks a deep shift in the world economy. It's an additional sign of a transfer of economic power to developing regions, especially Asia," said Anne Miroux, one of the authors of the World Investment Report 2006.

The investment patterns were marked by the emergence of companies based in Hong Kong, Russia, Singapore, Taiwan, Brazil and China as major sources of investment abroad. Hong Kong appeared in the top ten of the table of leading national sources of FDI, while mainland China was a "remarkable" 17th place in 2005, Miroux said.

Developing nations invested $117-billion abroad, mainly within their regions. The developing nations' overall share of cross-border mergers has increased from 4 percent in 1987 to 13 percent in 2005, according to Unctad.