China: Progress & Reform Challenges (OECD Investment and by Organization for Economic Co-operation and Development
By Organization for Economic Co-operation and Development
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Extra info for China: Progress & Reform Challenges (OECD Investment and Policy Reviews)
For example, two-thirds of the very high 2000 cross-border M&A figure is accounted for by a single deal between China Mobile ( Hong Kong), a whollyowned subsidiary of China Mobile Telecommunications Group based in Beijing, and China Telecom, based in Beijing, as part of the restructuring of China’s telecommunications sector. 3. Sources of FDI inflows into China Motivations of FDI in China Understanding the motivations of companies seeking to make direct investments is essential not only for an appreciation of the factors that have influenced the composition of FDI in China so far, but also in deciding the most appropriate way to attract the desired types of FDI in future.
3 However, although savings were high at the beginning of the reform period, the means of mobilising them for productive investment were absent. The banking system was merely a conduit for allocating funds in accordance with the national economic plan and lacked the infrastructure and experience to make loans on a commercial basis. Stock markets were nonexistent, hitherto politically taboo. 32 CHINA: PROGRESS AND POLICY REVIEWS – ISBN 92-64-10195-0 – © OECD 2003 2. 4 Foreign lenders would make loans on a commercial basis.
1 In the first half of the 1970s economic policy was aimed at sustaining food security and restoring economic growth while maintaining the framework of guaranteed full employment (the so-called “iron rice bowl”), albeit at internationally low productivity levels in both industry and agriculture. However, because of its inability to generate rapid productivity growth, this framework was insufficient to achieve the government’s other goals of catching up with advanced economies and raising living standards above developing-country levels.