Economists' Pick - Highlight
29 July 2016
China continued to be the world’s third-largest source of FDI for the fourth consecutive year in 2015, as Chinese enterprises are going out to look for resources to boost their competitiveness, and to tap business opportunities in Belt and Road markets, especially the Southeast Asia. Such enterprises are most interested in going to Hong Kong to seek professional services and business partners to support their outbound investment activities, as revealed by a recent HKTDC survey.
The removal of many international sanctions relating to Iran in January 2016 looks certain to boost the country’s economic prospects. Restored access to the global financial and trading system will enhance the investment climate in Iran in the medium-term and generate opportunities across many industries and sectors, particularly infrastructure and retail. This upturn seems likely despite lingering concerns over remaining “primary sanctions”.