Research On The Spatial Distribution And Its Influencing Factors Of Chinese Outward Direct Investment In Africa

Chinese foreign direct investment grows rapidly year after year with the development of Going Out strategy. In2012, the accumulated non-financial direct investment has reached77.22billion U.S. dollars with an increase of more than25%which is in contrast to the world economic downturn and at the same time, the cooperation between Africa which is an emerging investment destination and China is in rapid development. Firstly, this paper analyzes the traits of the investment from the view of money, number of enterprises and industry including agriculture, mining, manufacturing, project contracting, trade and the other with the data of Chinese investment in Africa from2003to2011.We get that the investment is in successive years of growth in both money and number of enterprises as well as focus on the several main countries, and focus on the manufacturing in the view of industry. Secondly, this paper uses empirical analysis to detect the geographical distribution and the factors. Based on the data of Chinese investment to Africa and economic, population, energy data of43countries in Africa from2007to2011, this paper analyze the spatial distribution of the investment from China to Africa by the map and indicators of Moran’s Index and Local Moran’s Index. And then we obtain five main factors through factor analysis. Using the regression analysis with the data of FDI from China to Africa (dependent variable) and the five main factors (independent variables), this paper reveals the major determinants which decide the selection of investment countries and spatial distribution of FDI. The results shows that the investment from China have a faint agglomeration in Africa, especially in southern Africa,also, the strength of the FDI have a direct relationship with infrastructure, urbanization, market size, the relationship with energy and the size of the market is insignificant, which rejects the view of Theory of Resource Plunder. Then adding space effect to the analysis, we find that Chinese investment in Africa has a weak correlation in space, but no overflow effect on neighboring countries. The article also put forward some policy countermeasures from in terms of enterprises and government.