A Comparative Study Of BRICs' Foreign Direct Investment Policy And The Inspirations For China

BRICs, as a representative of emerging market countries, has a more and more important position in the global economy and this importance is more prominent in the context of the global financial crisis. At the age of economic globalization, the foreign direct investment(FDI) promotes world economic growth as the "engine", which has played an important role in promoting the host countries'import and export trade growth, offering employment opptunities and technological progress and so on, to some extent, FDI achieves the optimal allocation of global resources, and enhances the linkages of the global economy. Most of the countries hope to promote their economic development, through attracting FDI.BRICs also attaches great importance to attracting FDI to promote the national economic growth, particularly in China, FDI has become an important part of China's socialist market economy. BRICs guides FDI's flows and strengthens the regulation of foreign invested enterprises through a series of FDI policy.FDI policy of a country is an important part of economic policy as a whole, which regulates and guides the behavior of foreign-invested enterprises. Attracting-investment activities in China is entering the new "Twelveth Five-Year" period, how to formulate and adjust the FDI policy is a key factor to determine wether China can achieve high-quality and fast FDI development in the new "Twelveth Five-Year" period. The purpose of this paper is to learn the lessons on FDI policy practices of Brazil, Russia and India by a comparative study of BRICs'FDI Policy, then put forward relevant countermeasures and suggestions according to outstanding problems of China's current attracting-investment activities.Firstly, this paper reviewed and carded the mainstream theory of FDI, on this basis, this paper focused on the theoretical basis of FDI policy and practices of FDI policy in the world, and introduced the related research achievements of scholars which are all theoretical basis for the expansion of below.Secondly, after introducing BRICs'basic national conditions and economic development as well as attracting-investment activities status in recent years, this paper introduced UNCTAD's FDI performance index of indicators, and calculated BRICs'1995-2009 FDI performance index of indicators, which was used to compare BRICs'attracting-FDI performance, in order to provide evidences of the results of BRICs'FDI policy practice. Subsequently, this paper focused on carding and comparation on condition-similar BRICs'FDI policy. There is a specific analysis of BRICs'FDI tax policy, industrial policy and regional policy Then, this paper compared similarities and differences, and maked the corresponding summary.Again, through the comparative study of BRICs'FDI policy, and then learned the lessons on FDI policy practices of Brazil, Russia and India of BRICs, this paper put forward corresponding countermeasures and suggestions in accordance with outstanding problems of China's current attracting-investment activities:firstly, to strengthen the structure-oriented role of FDI policy; secondly, to prevent monopoly by foreign investors and improve the competitiveness of local enterprises in China; thirdly, attracting-investment activities should pay more attention to environmental protection and efficient use of resources, in the hope that China will further enhance the quality of FDI and promote the healthy development of China's national economy in the "Twelveth Five-Year" new era.Finally, through the comparative study of the BRICs'FDI policy and with the world development trend of FDI policy practice, this paper reached the following conclusions:Firstly, BRICs including China should take a neutral FDI policy generally; secondly, BRICs including China should strengthen the aims of investment promotion, in accordance with their actual conditions of industrial structure and regional development; thirdly, BRICs including China should correctly handle the relationship between opening up and independence, help their national enterprises develop and grow. Conclusions of the study still has important inspirations for China, which has gone through over thirty years of attracting-investment activities with achievements and problems, to make more scientific and rational FDI policy in the "Twelveth Five-Year" new era.