Image Source: rus-chn.com
Direct Investment In OBOR Summed To US$8.6b In 1st Half 2015
The Ministry of Commerce of China has announced at a regular press conference that, in the first half of the year, a total of US$8.59 billion from China has been invested in 48 countries along the OBOR, an increase of 29.5% compared to last year.
Funds have been invested in projects mainly in Indonesia, Laos, Russia, Singapore, Thailand and Kazakhstan. 217 companies along the OBOR regions have set up their offices in China, an increase of 19.9% compared to the same period last year.
Foreign direct investment has recorded a total of $US 760 million, a slight decrease of 1.3% from last year. Major cities receiving foreign direct investment were Shanghai, Beijing and Guangdong.
Image Source: sina.dichan.com
Cross Border E-Commerce Logistics Alliance Formed In Lanzhou
The China International Cross Border E-Commerce Logistics Conference 2015 was opened in Lanzhou today. Attendants include China E-Merchant Association, China Communications and Transportation Association, Singapore International Logistics Association, logistics experts and officials from the United Kingdom, Australia, Malaysia and Kazakhstan.
Business associations and organizations from 58 cities in China have formed an E-commerce logistics alliance to allow for corporation in future planning in the industry.
Image Source: fashionbi.com
“One Belt, One Road” Included in DIFC 10-Year Strategy
Global commercial hub Dubai International Finance Centre (DIFC) has announced its 10-year strategy plan on the 10th during its visit to Beijing. DIFC is planning to give full support to China’s OBOR initiative in areas within its reach, and has laid OBOR as one of the important development plans in its strategy.
Speaking to the press in Beijing, Essa Kazim, the Governor of DIFC remained optimistic about the long-term development of the Chinese economy. He also expressed his wills to have China as a main driving force of DIFC’s growth. Banks from China are currently discussing about issuance of Sukuk (Islamic bonds) in Dubai.
Image Source: roll.sohu.com
163 Project Deals Signed at China-Arab State Expo 2015
The China-Arab State Expo 2015 at Yincun of the Ningxia province had come to an end, witnessing 163 project deals worth ¥171.2b in total signed during the expo.
Chinese state councilor Guo Xingkun at the Expo stated that he hopes to bring up the amount of bilateral trade between China and Arab countries to US$600 billion within 10 years by increasing imports of non-energy related products.
What We Think:
Although economies within and outside China have remained sluggish, development under the OBOR is still under full swing. An increase of almost 30% of Chinese investment along the region, new opportunities rose from cross-border e-merchants, further actions by Dubai and Arab countries have fully reflected the increasing future impact to the world imposed by the initiative.
The e-commerce logistics alliance in Lanzhou may become a highlight amid recent development. After all, real economy is the foundation of any sustainable prosperity. First beginning with building basic logistics, exporting of products can then be achieved through e-merchants. This may be another way to seek development and business opportunities.
Hong Kong, being a busy hub of international exchange, has built up its very own connections and contacts through numerous commercial cooperation. Acting as a mitigating person familiar with international business culture while having created a vast business network in the past, it might not be a bad idea to form basis for sustainable investment together with the logistics alliance.