The Study Of The Relationship Between China’s OFDI In Countries Along "The Belt And Road" And Bilateral Economic Growth

In 2013,The general secretary Xi jin-ping put forward the concept of "new silk road economic belt" and "21st century maritime silk road".With the help of“The Belt and Road”initiative,China has carried out a number of OFDI to countries along“The Belt and Road”.By the end of 2016,China and the countries along“The Belt and Road”have signed over 130 bilateral and regional transport agreements involving railways,highways,shipping,shipping and postal services.Chinese companies have built 56 economic and trade cooperation zones in more than 20 countries along the “The Belt and Road”,creating nearly $1.1 billion in tax revenue and 180,000 new jobs for the host country.Therefore,China’s OFDI have brought considerable benefits to“The Belt and Road”countries.At present,under the background of“The Belt and Road”initiative,exploring the economic effect of Chinese enterprises on their OFDI has become the focus and hot issue of urgent research at this stage.However,“The Belt and Road”involves many countries.The development of different countries is rather complicated.The situation is complicated and the investment activities are exposed to great risks.The bilateral policy and all aspects of the host country occupy an important weight in the investment decision-making of enterprises in our country.Therefore,this article will take the host country system,bilateral cultural,the host country’s infrastructure,the ecological environment of the host country as the starting point of the study to examine the promotion of bilateral economic growth by China’s OFDI and under the“The Belt and Road”the above factors the regulatory role of China’s OFDI with bilateral economic growth effects,providing some theoretical advice for China in the future on the choice of direct investment regions in the“The Belt and Road”.The main work done in this paper are as follows:(1)This paper reviews domestic and foreign relevant theoretical and empirical studies on the economic growth and China’s OFDI investment in the“The Belt and Road”,Since the“The Belt and Road”initiative was put forward,China’s OFDI Investment overview to the countries,including the amount of investment,main investors,investment sectors and areas,investment areas.(2)From the perspective of the“The Belt and Road”initiative,this paper selected four indicators as the regulatory variables in terms of direct investment by countries along the“The Belt and Road”and national development characteristics along the“The Belt and Road”.The four regulatory variables were analyzed in " The Belt and Road" the regulatory role of the relationship between China’s OFDI and the host country’s economic growth.(3)The four regulatory variables were analyzed in " The Belt and Road" the regulatory role of China’s OFDI and the China’s economic growth.After the regression,we find:(1)Under the“The Belt and Road”,Overall,the quality of the host country system is more favorable to the positive promotion effect of China’s OFDI on bilateral economic growth.Different from the bench marking of the entire sample,the better the host country system in the ASEAN and central and eastern Europe along the“The Belt and Road”,on the contrary,weakening the role of China’s OFDI in boosting bilateral economic growth.In other regions along the "Belt and Road",the better the host country system,the more it can enhance the promotion effect of China’s OFDI on bilateral economic growth.(2)Against the background of“The Belt and Road”,the more bilateral cultural exchanges are held,the better it will be to eliminate the negative impact of cultural differences and provide a positive and significant boost to bilateral economic growth by China’s OFDI.No matter in which region of the“The Belt and Road”countries,bilateral cultural exchange factors play a positive regulatory role in the relationship between China’s OFDI and the host country’s economic growth.That is,the more frequent bilateral cultural exchanges can strengthen the direct economic growth of China’s host countries The promotion effect.However,from the point of view of economic growth in the motherland,in the countries along“The Belt and Road”,in addition to West Asia,the Commonwealth of Independent States,South Asia and Central Asia,bilateral cultural factors have a negative impact on the relationship between China’s OFDI and the growth of its home country in both ASEAN and Central and Eastern Europe In which there is a significant negative regulatory role.(3)In the context of“The Belt and Road”,overall,the less perfect infrastructure in the host country and the greater the gap in infrastructure construction are,the more it will be for the country’s direct investment to exert its bilateral economic growth effect.Different from the benchmark results of the whole sample,in the ASEAN countries,the host country infrastructure has a significant positive regulatory effect on the relationship between China’s OFDI and the host country’s economic growth.That is,the more perfect infrastructure in the ASEAN and the host country,the more conducive it is to promoting The Impetus of Direct Investment on the Economic Growth in the Host Country From the perspective of economic growth in the motherland,no matter in any part of the“The Belt and Road”,the regulatory role of the host country’s infrastructure in the relationship between China’s OFDI and the growth of the motherland’s economy is significantly negative.(4)In the context of “The Belt and Road”,overall,the less ecological environment in the host country is,the lower the environmental standards are,the more favorable it will be for China’s OFDI to bring a certain boost to bilateral economic growth.The difference with other regions in the“The Belt and Road”countries is that in ASEAN and Central and Eastern Europe,the better the ecological environment and the higher the environmental standards,the more conducive to the promotion of China’s OFDI in bilateral economic growth.(5)Under the“The Belt and Road”,China’s OFDI can significantly promote bilateral economic growth,especially the economic growth of the host country,regardless of the existence of regulatory variables.This shows that China’s OFDI is not a "unilateral return".(6)Under the “The Belt and Road”,the regulatory role of some regulatory variables on the relationship between China’s OFDI and bilateral economic growth will be different because of the differences between the signing of bilateral investment treaties and the level of trade facilitation in host countries.(7)In “The Belt and Road”countries and non-"Belt and Road" countries,some regulatory variables have significantly different regulatory roles in the relationship between China’s OFDI and bilateral economic growth.Finally,the article puts forward the corresponding policy implications:(1)We should pay full attention to the impact of the institutional environment of host countries in China’s OFDI of “The Belt and Road”.(2)Accelerate China’s infrastructure investment in countries along the“The Belt and Road”,especially transport infrastructure investment(3)In its direct investment in the "Belt and Road Initiative," China should uphold the concept of "sustainable development" and "the green Belt and Road" by focusing on the economic benefits of direct investment and raising the environmental awareness(4)China should step up bilateral cultural exchanges with countries along“The Belt and Road” and enrich the ways and means of cultural communication.