Author(s)

Jiangrong Lan ¹

Affiliation(s)

¹ International College, Guangxi University, 100 East University Road, Nanning, Guangxi, China

Corresponding Author

Jiangrong Lan

ABSTRACT

In recent years, driven by the "Belt and Road" and " 21st Century Maritime Silk Road", China has gradually expanded its outward direct investment in ASEAN countries. This paper takes ASEAN countries as the research objects, uses the standard efficiency DEA model to evaluate the OFDI efficiency of China to ASEAN countries, and further explores the impact of infrastructure construction and other factors on investment efficiency through Tobit model. The results show that the comprehensive technology efficiency of China's OFDI is in the middle level, the pure technology efficiency is in the effective state, and the investment scale efficiency is in the suboptimal state. The regression results show that communication infrastructure significantly promotes OFDI scale efficiency in China; transportation infrastructure quality significantly inhibits OFDI scale efficiency; and the effect of energy infrastructure quality on OFDI scale efficiency is uncertain. Gross domestic product, natural resource endowment, labor resource level and financial development level are positively correlated with scale efficiency, and the level of opening up is negatively correlated with scale efficiency. In the end, the article provides suggestions for further strengthening the investment cooperation between China and ASEAN countries.

KEYWORDS

ASEAN, OFDI, efficiency of investment scale, DEA-Tobit model

CITE THIS PAPER

Jiangrong Lan, Impact of ASEAN Countries' Infrastructure on OFDI Efficiency in China: Based on the DEA-Tobit Model. Financial Engineering and Risk Management (2023) Vol. 6: 31-39. DOI: http://dx.doi.org/10.23977/ferm.2023.060204.

REFERENCES

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[5] Kumar N.Infrastructure Availability, Foreign Direct Investment Inflows and Their Export-Orientation: A Cross-Country Exploration. The Indian Economic Journal.2017, 54 (1): 125-144.
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