The Biden administration is reportedly weighing plans to restrict US investment in China s high-tech sector, which may be one of the least effective ways to contain the sector s growth. Chinese developers face no shortage of capital and the nation remains a hot place for global investors, Chinese experts said on Sunday.
After four years of fast development, the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) is set to further become a hotspot for foreign investments and usher in a golden period of development, as COVID-related restrictions have been lifted and travel between the Chinese mainland and the Hong Kong and Macao special administrative regions (SARs) have fully resumed.
Chinese firms are accelerating their overseas listings through the use of Global Depositary Receipts (GDR), with Switzerland a popular destination. The trend shows how Chinese companies are seeking alternatives to the US market after a tough crackdown made the US less attractive, experts said.
Many international asset managers have increased their holdings of Chinese shares, reflecting their full confidence in the stable recovery of China’s economy. Analysts believe that the A-share market will provide a safe haven for international capital, with up to 400 billion yuan ($59 billion) worth of foreign capital expected to flow into the market in 2023.
Chinese regulators announced plans to expand the registration-based IPO system across the A-share market on Wednesday, in an effort to expand the capital market and ratchet up the ratio of direct financing to meet the needs of economic development.