China foreign investment growth hits two-year high

%3CP%3E%3CFONT%20face%3DVerdana%3EForeign%20direct%20investment%20%28FDI%29%20in%20China%20grew%20at%20its%20fastest%20pace%20in%20more%20than%20two%20years%20in%20June.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EInvestment%20rose%2020.1%25%20from%20a%20year%20earlier%20to%20%2414.4bn%20%28%uFFE19.5bn%29%2C%20according%20to%20the%20Ministry%20of%20Commerce.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EThe%20surge%2C%20which%20even%20the%20state-owned%20Xinhua%20news%20agency%20described%20as%20a%20%22surprise%22%2C%20comes%20amid%20a%20recent%20slowdown%20in%20growth%20in%20China%27s%20economy.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EAnalysts%20say%20the%20figures%20indicate%20investors%20are%20hopeful%20that%20China%27s%20economy%20will%20continue%20to%20grow%20robustly.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3E%22The%20June%20FDI%20data%20shows%20overseas%20investors%20are%20still%20optimistic%20on%20the%20outlook%20of%20China%27s%20economy%20in%20the%20medium%20and%20long%20term%20thanks%20to%20China%27s%20recent%20efforts%20to%20move%20the%20economy%20up%20the%20value%20chain%20and%20its%20strong%20domestic%20consumption%2C%22%20said%20Li%20Wei%2C%20China%20economist%20at%20Standard%20Charted%20Bank%20in%20Shanghai.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EHe%20added%20that%20foreign%20investment%20in%20China%20in%20the%20second%20half%20of%20the%20year%20was%20likely%20to%20be%20even%20stronger%20than%20that%20in%20the%20first%20six%20months%20of%20the%20year.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EAccording%20to%20the%20latest%20figures%2C%20foreign%20investment%20in%20China%20during%20the%20January%20to%20June%20period%20rose%20by%204.9%25%20from%20a%20year%20earlier.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EAttracting%20investors%20%3CBR%3EAfter%20decades%20of%20blistering%20expansion%2C%20China%20-%20the%20world%27s%20second-largest%20economy%2C%20has%20seen%20its%20growth%20rate%20slow%20in%20recent%20months.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EData%20released%20earlier%20this%20week%20showed%20that%20its%20economic%20growth%20rate%20waned%20in%20the%20April%20to%20June%20period%2C%20the%20second%20straight%20quarter%20of%20weaker%20expansion.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EChina%27s%20economy%20grew%20at%20an%20annual%20rate%20of%207.5%25%20during%20the%20period%2C%20down%20from%207.7%25%20in%20the%20January%20to%20March%20quarter.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EIts%20growth%20has%20been%20hurt%20by%20a%20slowing%20demand%20for%20exports%20from%20key%20markets%20such%20as%20the%20US%20and%20Europe%2C%20as%20they%20grapple%20with%20their%20own%20set%20of%20economic%20problems.%20At%20the%20same%20time%2C%20policymakers%20have%20found%20it%20tough%20to%20boost%20domestic%20consumption.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EPrompted%20by%20the%20slowdown%2C%20Beijing%20has%20been%20keen%20to%20open%20up%20its%20markets%20to%20foreign%20investors%20in%20an%20attempt%20to%20spur%20a%20fresh%20wave%20of%20economic%20growth.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EEarlier%20this%20month%2C%20the%20China%20Securities%20Regulatory%20Commission%20%28CSRC%29%20raised%20the%20cap%20on%20the%20total%20amount%20of%20money%20foreign%20investors%20can%20bring%20into%20the%20country.%20It%20increased%20the%20quota%20for%20Qualified%20Foreign%20Institutional%20Investors%20%28QFII%29%20to%20%24150bn.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EThis%20is%20the%20second%20time%20in%20a%20space%20of%20four%20months%20that%20the%20regulator%20made%20such%20a%20move.%20It%20had%20previously%20raised%20the%20limit%20to%20%2480bn%20from%20%2430bn%20in%20April.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EIn%20November%2C%20China%20said%20that%20it%20will%20%22simplify%22%20procedures%20for%20foreign%20direct%20investments%2C%20including%20new%20rules%20under%20which%20investors%20will%20not%20require%20approval%20for%20opening%20foreign%20currency%20accounts%20or%20for%20re-investing%20foreign%20exchange%20earnings.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3E%3CBR%3E%28Tianjin%20Commission%20of%20Commerce%29%3CBR%3E%3C/FONT%3E%3C/P%3E