September 19, 2023
1 min read

Beijing’s ‘Open Arms’ Strategy: Will Western Companies Bite?

Foreign companies and investors have grown wary of rising risks in the world’s second largest economy, including a worsening slowdown marked by weak domestic demand…reports Asian Lite News

China wooed a number of top Western companies with renewed promises to open up its financial industry and create a more welcoming environment as Beijing tries to reverse a record low in foreign investment in the face of mounting economic challenges, the media reported.

Pan Gongsheng, governor of the People’s Bank of China (PBOC) and head of the country’s foreign exchange regulator, chaired a symposium with representatives from foreign companies, including JP Morgan, Tesla, HSBC, Deutsche Bank, BNP Paribas, Japan’s MUFG Bank, German chemical producer BASF, commodities trader Trafigura and Schneider Electric, according to a post on the websites of the PBOC and the State Administration of Foreign Exchange (SAFE), CNN reported.

The symposium was intended to “increase financial support to help stabilize foreign trade and foreign investment” and improve the “investment environment” for foreign business, the statement said.

Foreign companies and investors have grown wary of rising risks in the world’s second largest economy, including a worsening slowdown marked by weak domestic demand and a housing crisis, Beijing’s desire to prioritise national security over economic growth and deteriorating relations between China and many Western countries, CNN reported.

In the first eight months of this year, foreign direct investment (FDI) into China fell 5.1 per cent from a year ago, according to data released by China’s commerce ministry on Sunday.

A separate measure for foreign investment painted a grimmer picture.

Direct investment liabilities, a measure of FDI reflected in a country’s balance of payments, fell to just $4.9 billion in the April to June months, down 87% from a year earlier, according to data published by SAFE last month. That was the lowest amount in any quarter since records began in 1998, CNN reported.

ALSO READ: WHO Urges China for Transparency on COVID-19 Origins

Previous Story

At UNGA, leaders adopt landmark SDG declaration  

Next Story

UK Presses On with Trade Talks with India Despite Trudeau’s Accusations

Latest from -Top News

Middle East Shutdown Disrupts Kerala Flights

With the Israel-Iran ceasefire easing tensions, airlines have begun rescheduling flights, bringing relief to stranded travellers….reports Asian Lite News A sudden closure of airspace over parts of the Middle East late Monday

No Ceasefire Deal, Says Tehran

Iran’s Foreign Minister Abbas Araghchi says no “agreement” on ceasefire between Israel and Iran…reports Asian Lite News Uncertainty and scepticism mounted on Monday after a surprise ceasefire announcement by the United States,

Awami League Blasts Yunus ‘Propaganda’

Sheikh Hasina’s party slammed Ordinance No. 30, 2025, calling state recognition of the event an attempt to legitimise an “unconstitutional and unethical conspiracy….reports Asian Lite News Bangladesh’s ruling Awami League has strongly

Pakistan Snubs US at UN

Ahmad said that Pakistan, in collaboration with its all-weather friend, China and its ally, Russia, was circulating a draft resolution for the Council to adopt….reports Asian Lite News Despite the high-profile lunch

Violence against children hit unprecedented levels

In Somalia, it reported 2,568 violations against 1,992 children.In Nigeria, 2,436 grave violations were reported against 1,037 children The UN kept Israeli forces on its blacklist of countries that violate children’s rights
Go toTop

Don't Miss

China assures expeditious development of CPEC phase 2: Imran aide

Pakistan’s ties with China are the cornerstone of Islamabad’s foreign

Jailed Chinese journalist bags freedom award

The award came at a time when the world is