Research On Legal Issues Of OFDI Risk Prevention In China Under "The Belt And Road" Initiative

Since the “The Belt and road” Initiative was put forward,China’s foreign direct investment has shown a growing trend.However,at present,China’s foreign direct investment is facing many difficulties.At home,the laws and regulations of foreign direct investment are not perfect,the relevant subjects of foreign direct investment are not aware of the rule of law to prevent risks,and their ability to deal with overseas investment risks is not enough.Abroad,some superpowers use their influence to publicize the “China threat theory” and compete recklessly with China economically.Even some host countries take various unreasonable and illegal measures to arbitrarily collect the property of Chinese investors,which brings a lot of inconvenience and losses to the activities of Chinese foreign direct investment entities.These risks must be paid attention to.Through the research on legal issues related to risk prevention,we can provide feasible suggestions for China’s direct investment risk prevention in countries along the “The Belt and Road” initiative,which is also the fundamental research purpose of this paper.The risk prevention of direct investment in countries along the “The Belt and Road” initiative “The Belt and Road” initiative is faced with many difficulties.First is the investment subject of countries along the “area” inadequate internal control mechanism,including some problems illegal investment main body internal control mechanism,internal control mechanisms can be evaded some investment subject,cannot play its proper role to prevent risks,some investment subject risk management techniques lag behind,unable to meet the needs of the present foreign direct investment.Secondly,China’s OFDI legal system is not perfect,including the lack of special legislation,low legal status,outdated provisions in bilateral investment agreements,investment dispute settlement provisions are not perfect and other problems.Third,the overseas investment insurance system at home and abroad is not perfect.The imperfections of the domestic system are mainly reflected in the lack of special legislation for overseas investment,the many restrictions on qualified applicants and the difficulty in realizing the right of subrogation,and the problems of the multilateral investment guarantee mechanism are reflected in the excessively strict insurance conditions.Finally is our country and all the way “area” bilateral investment dispute settlement mode of countries along the shortcomings,mainly reflected in the host country and international arbitration,the host country relief for their own protection color strength is very detrimental to our country investment,while the problem of international arbitration is sure not clear about the way of arbitration,some international arbitration way advantages than disadvantages,is not conducive to investment dispute settlement.With the increase of economic exchanges between China and countries along the belt and Road,investment risk prevention has become an urgent problem to be solved.Based on the current reality in our country,in view of the existing “area” under the background of China’ s foreign direct investment risk prevention,targeted and feasible countermeasures are put forward,including establishing and perfecting the domestic legal system,and promote our country and the foreign direct investment of countries along the “area” bilateral investment treaties signed,perfect the overseas investment insurance system,etc.The above measures are explored and analyzed in order to play a practical role in helping Chinese investors to carry out foreign investment activities.