Efficiency Of China's Use Of Foreign Capital

Since the reform and opening up, China has increased efforts to introduce foreign investment and gradually improve the foreign investment policy system, attracting foreign investment has made great achievements. Meanwhile, the introduction of foreign capital are also the rapid development of China's national economy played a positive role in promoting. But as the scale of foreign capital due to the continuous expansion of the increasingly diversified structure of foreign investment and foreign investment, China's steady economic growth and also produced a series of negative economic effects. How to give full play to foreign investors a positive impact on China's economy, weakening and elimination of foreign investment negative impact on China's economy, the key issue is to improve our utilization of foreign investment levels of efficiency.In this paper, in the first chapter of the scholars on the foreign capital utilization efficiency of the research literature conducted a review and synthesis, and the combination of efficiency, capital efficiency and the use of the concept of efficiency in the definition of foreign investment come to the inefficiency of China's utilization of foreign capital mainly in three aspects, that is, the speculative foreign capital to fund the development of our country's production no good; the use of foreign capital, domestic capital there idle phenomenon; foreign investment in the industry and inter-regional configuration of the unreasonable. In this paper, the first from the total amount of the second chapter, structure, industry, distribution and regional distribution of the angles of the use of statistical data on the status of China's utilization of foreign capital has been described,The subsequent economic effects of the use of foreign capital was analyzed, and concluded that:the use of foreign investment to some extent to promote economic growth, promote foreign trade, an increase of domestic employment to ease the funding gap, but the foreign investment for China's financial risk control, effective use of domestic and industrial security maintenance in areas such as negative effects. Chapter III of the First Chapter of the definition of foreign capital utilization inefficient use of statistical data on China's utilization of foreign capital is inefficient or low efficiency of the empirical test results show that:the use of foreign capital actually contributed to economic growth, promote the formation of investment, However, there are still squeeze on domestic capital of the situations, but also exists in foreign speculative capital, which had an impact on efficiency in the use of foreign investment. Finally, in chapter IV, this paper on China's utilization of foreign investment over the economic effects of foreign capital utilization efficiency of analysis and test results of the empirical results of the analysis, based on the current new international and domestic situation, and proposed to improve the efficiency of China's utilization of foreign investment policy recommendations:to promote financial deepening, make full use of interest rates and exchange rate on foreign capital flows, regulatory role; to enhance financial security awareness, strengthen internal controls and foreign investment regulation;The system through innovation and attract investment, improve the utilization of foreign investment scale and quality; reasonable guide foreign investment to promote our industrial structure and regional economic coordinated development; standardize the government's foreign capital in economic activity, changes in government's economic management functions.