China's FDI rebounds for the first time in February since June 2012

Foreign direct investment (FDI) into China rose by 6.32 per cent year on year in February, rising for the first time since June 2012, according to data released today by the Chinese ministry of commerce (MOC).

This is the first rebound seen in China's FDI after declining for eight consecutive months since June 2012.

FDI inflow in February stood at $8.21 billion, MOC spokesman Shen Danyang told a press conference here.

"The rebound is a heartening fact," Shen said, adding that it showed the competitiveness of China's economy and foreign investors' confidence in the country's business environment and growth prospects.

In February, China approved the establishment of 1,032 foreign-invested enterprises, down 35.62 per cent from a year earlier, Shen said.

In the first two months of 2013, total FDI inflow dropped 1.35 per cent to $17.48 billion from the same period last year.

Investment into China's service sector grew slightly by 5.49 per cent to $8.45 billion in the first two months, while investment in agriculture and manufacturing sectors dropped by 43.22 per cent and 10.64 per cent, respectively, according to Shen.

Investment from the European Union in China surged 34.01 per cent to $1.21 billion, while FDI from the US dropped 5.37 per cent to $497 million.

China's central regions saw steady growth in foreign investment, with the total figure up by 4.76 per cent to $1.5 billion, while FDI in the western regions dropped 5.95 per cent, followed by a 1.58-per cent fall in the eastern provinces.

Overseas direct investment (ODI) made by Chinese companies, excluding investment in the financial sector, surged by 147.3 per cent year on year to $18.39 billion in the first two months.