Chinese ODI rises to $55.9 billion in 2008

Cashing in on overseas low asset prices due to the global economic downturn, China's overseas direct investment (ODI) jumped to $55.91 billion in 2008, an increase of 111 per cent from 2007.

According to statistics released yesterday jointly by the ministry of commerce, the National Bureau of Statistics and the State Administration of Foreign Exchange, non-financial ODI was $41.86 billion in 2008, up 75 per cent while financial ODI rose nearly eight-fold to $14.05 billion.

Chinese limited companies made 50.2 per cent overseas direct investment while state-owned enterprises made 16.1 per cent.

China's ODI had set up around 12,000 enterprises overseas in 174 countries or regions with 71 per cent of those enterprises being set up in Asia and Europe.

China had eased rules governing overseas acquisitions by its  firms in May with the introduction of administrative measures for foreign investment by the by the Chinese ministry of commerce.

Earlier, provincial authorities were authorised to issue approval for all ODI's below $10 million, except in countries like the US, India and Japan.