Foreign investment in China up 27 pct in May

BEIJING: Foreign investment in China rose 27 per cent in May from a year earlier to more than $8 billion, an official said Saturday.

Foreign entities invested $8.132 billion in the country during the month, a rise of 27.48 per cent over the same month last year, Commerce Ministry spokesman Yao Jian said.

The figure raises total foreign investment in China to $38.921 billion over the first five months of the year, up 14.31 per cent from a year earlier. Foreign investment in April was 24.7 per cent higher than the same month last year, signaling increased confidence in China's midterm economic prospects.

Foreign direct investment includes spending on factories, real estate and other assets but excludes investment in stocks and other financial instruments.

China is seeking to channel foreign investment into high-tech and renewable energy industries, while curtailing funding for low-wage and heavily polluting manufacturing industries.