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China's Foreign Direct Investment Increases by 27.5 Percent
China's foreign direct investment (FDI) in the first quarter of this year increased by 27.5 percent from the same period last year to US$10.1 billion, state media said Saturday.

In the same period, investment commitments or "contracted FDI," which give an indication of future invesment inflows, reached US$17.9 billion during the first quarter, rising 11.4 percent from the same period last year, the Financial News reported.

Last year, China's foreign direct investment rose 14.9 percent compared with the previous year, according to official figures, with actual FDI rising to US$46.85 billion, while contracted FDI rose 10.43 percent to US$69.19 billion.

China's entry into the World Trade Organization (WTO) late last year is expected to encourage more foreign companies to invest in China as China opens its market -- lifting restrictions on investment and lowering tariffs -- in order to fulfil its agreements for accession.

A UN Conference on Trade and Development in Geneva in January estimated China will attract the most FDI among Asian countries in the years ahead because of its WTO entry.

(China Daily April 15, 2002)

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