China attracts foreign investment of US$2.11 trln since 1978

Since the country began its reform and opening-up policies in 1978, China has totally attracted US$2.11 trillion by the end of last year, up 23.5% from the previous year, according to the State Administration for Industry and Commerce (SAFIC) on Tuesday.

An aggregate of 286,200 foreign-funded companies have won approval to invest in China, jumping 4.14% from the previous year. In 2007, the number dropped 8.69% to 37,888, as compared with the year before, and the number also declined 13.41% year-on-year in January 2008, with 2,918 foreign-funded companies.

Tax rate for foreign companies has been raised to 25% from the previous 15% on Jan. 1. However, the foreign-funded companies investing in China are larger, with an average registered capital up 28% to US$4.63 million last year, despite the number declined. Besides, the average registered capital for all foreign companies soared 17.23% to US$4.04 million.