One Belt and One Road Policy of China and its impact on FDI of Participating Countries
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This paper selects the data of 53 countries along the “Belt and Ｒoad”, verifies the effect of BRI on China’s foreign direct investment and import and export trade relations. China’s BRI is a foreign strategy formulated by President Xi Jinping in 2013 to ensure an advantage in the US-China hegemony competition. It started as a motivation to build a huge economic network centered on China through the Belt and Road Initiative and further challenge the hegemony of the dollar with the yuan as the key currency. It is important to study the effectiveness of the Belt and Road Initiative. Based on this background, the results of verifying how the Belt and Road Initiative effectively affect China’s FDI and imports and exports are as follows. First, FDI tends to promote China’s import and export trade. Second, the Belt and Road Initiative can promote the relationship between China’s FDI and import-export trade.
Abstract
This paper selects the data of 53 countries along the “Belt and Ｒoad”, verifies the effect of BRI on China’s foreign direct investment and import and export trade relations. China’s BRI is a foreign strategy formulated by President Xi Jinping in 2013 to ensure an advantage in the US-China hegemony competition. It started as a motivation to build a huge economic network centered on China through the Belt and Road Initiative and further challenge the hegemony of the dollar with the yuan as the key currency. It is important to study the effectiveness of the Belt and Road Initiative. Based on this background, the results of verifying how the Belt and Road Initiative effectively affect China’s FDI and imports and exports are as follows. First, FDI tends to promote China’s import and export trade. Second, the Belt and Road Initiative can promote the relationship between China’s FDI and import-export trade.