Hong Kong has retained its position as Asia's second-largest
destination for foreign direct investment, according to a report
released yesterday by the United Nations Conference on Trade and
Development.
The World Investment Report 2007 highlighted Hong Kong as a
"front-runner" economy, following high rankings in both its Inward
FDI Potential and Performance Indexes.
Hong Kong attracted FDI valued at US$42.9 billion last year, up
28 percent on 2005.
The Chinese mainland, which was the largest FDI recipient, and
Hong Kong accounted for over half of FDI inflows into the region
last year.
Hong Kong Director-General of Investment Promotion Mike Rowse
said yesterday that the report confirms Hong Kong's position as a
highly attractive market for FDI. To be second in Asia and seventh
in the world is an impressive feat for a city economy of seven
million people, he added.
"These results confirm Hong Kong's status as an international
location in Asia for foreign companies and capital. Equally, the
report shows that Hong Kong continues to act as a two-way
springboard for overseas companies and capital into the Chinese
mainland, and for mainland companies expanding into international
markets," Rowse said.
"Beyond the numbers, this investment also brings new skills,
products, services and job opportunities that contribute
substantially to our economic development and competitiveness," he
added.
The FDI inflow into Hong Kong soared more than 30 percent from a
year earlier, to US$27.1 billion for the first half of this year,
the survey said.
On a global scale, Hong Kong ranked seventh in FDI inflows last
year, up from the eighth place in 2005, with cross-border merger
and acquisition activity fueling the rise.
For the third consecutive year, global FDI inflows rose
substantially. Total FDI flows reached US$1.306 trillion, up 38
percent from 2005, and approaching the peak of US$1.411 trillion
reached in 2000. The rise was driven by increasing corporate
profits worldwide and buoyant stock markets.
(Xinhua News Agency October 18, 2007)
