Foreign investment plunge spotlights economy's quandary

Article Abstract:

The Chinese economy has suffered a 10% decline in foreign investment compared to 1998 and this can be attributed to government's contradictory regulations. The end to China's economic woes is not in sight as the government announced a 20% drop in foreign capital earmarked for future projects. The government has taken steps to manage the oversupply of certain consumer products such as toothpaste and washing machines, but such domestic policies put it at odds with policies to attract more foreign investments.

China, International economic relations, Regulation of Dom Invest by Foreign, Foreign investments, Economic policy, Trade policy, Commercial policy

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Taiwan gets clearance

Article Abstract:

The Chinese government announced that it will not restrain Taiwan from granting financial aid to Asia, which currently suffers from economic and financial crisis. Ministry of finance officials claimed that Taiwan's financial aid package is permissible as long as the deal remains economical and non-governmental. The highly industrialized province, which holds the world's third largest reserves, has been able to adapt with the stock market turmoil and currency devaluation in the region.

Foreign Economic & Financial Assistance, International aspects, Political aspects, Economic assistance, Foreign economic assistance, Asia

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Taiwan retreats from call to limit China investment

Article Abstract:

The Taiwanese government will not restrict corporate investments in China in lieu of recent calls to cut back investment in the mainland. Business enterprises should then make their own judgments while being aware of the declining growth and increasing inflation in China. Investments made in mainland China require careful thought, concerning both its economic profitability and political risk.

HOLDING AND OTHER INVESTMENT OFFICES, Regulation of Investment Abroad, Finance, Business enterprises

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