China's Outward Foreign Direct Investment Efficiency And Determinants In BRI Countries

With the implementation of the "One Belt,One Road" vision,China's foreign direct investment(OFDI)in the "Belt and Road" countries has made great progress.How to improve investment efficiency and promote investment potential is one of the issues that need to be considered at this stage.In this realistic context,based on the calculation and comparison of China's OFDI efficiency along the "Belt and Road"countries,this paper focuses on the factors affecting China's OFDI efficiency along the "Belt and Road" and its potential for improvement.First of all,this paper uses China's OFDI stock index and 8008 data samples from 52 countries along the "Belt and Road" in 2006?2016,and measures the efficiency of China's OFDI through stochastic frontier analysis(SFA).The calculation results show that the trend of China's OFDI efficiency along the "Belt and Road" is gradually increasing;the efficiency of OFDI in Asian countries and the Middle East is relatively high,and it is lower in European countries;the overall efficiency of OFDI in China is at a low level,and there are very few countries with high OFDI efficiency.Therefore,countries along the "Belt and Road" still have greater room for efficiency improvement.Secondly,based on the descriptive statistics and empirical test analysis of panel data,this paper empirically tests the influencing factors of China's OFDI efficiency along the "Belt and Road" countries,and conducts group tests according to the host country's income level and China's investment time period.The empirical results show that macroeconomic variables such as GDP and trade share have positive effects on China's OFDI efficiency.In investment inefficiency factors,government efficiency,corruption,and dependence on natural resources in the host country are positively correlated with the efficiency of China's OFDI,while the host country's communication facilities,trade freedom,and business freedom are significantly negatively correlated with China's OFDI efficiency.The results of the group test further show that government efficiency and business freedom have a greater impact on China's OFDI efficiency in low-and middle-income countries,while the degree of corruption and natural resource rents have a greater impact on high-income countries.Due to the lag and window period,the impact of various investment inefficiencies after 2013 is far less than before 2013.Thirdly,this paper uses the trade potential research method to analyze the investment efficiency potential of China in the "Belt and Road" countries.The results show that China has a higher room for the improvement of OFDI efficiency in Asian developing countries;Since the "One Belt,One Road" strategy is still in its infancy,the relevant policy system has not yet matured.At present,China's OFDI efficiency potential for European countries and the Middle East is low,and further exploration is needed.Finally,based on the conclusion of the full text,this paper proposes relevant policies and suggestions on how to improve the efficiency of OFDI from the aspects of industry selection,location selection,risk prevention and corporate strategy.