Wherever the Chinese go, they are the gold master`s father.
Australia`s first public database today released information on China`s overseas investments in Australia, including who invested in Australia and what the total was.
From 2014 to 2017, China invested more than 40.4 billion Australian dollars in Australia, according to the database. However, China`s total investment in Australia has fallen by 40% since last year. Total Chinese investment in Australia peaked at about 14.9 billion Australian dollars in 2016. However, it fell to 8.9 billion Australian dollars in 2017.)
The head of the database, Peter? Dreisdale (Peter Drysdale) said the decline was mainly due to tight investment policies in China and Australia, as well as to Australia`s less optimistic investment climate.
So, where are all the money from Chinese investors?
According to the data team, most of China`s investment is in the mining and real estate sectors. In the past four years, mining alone accounted for 1/4 of China`s total investment! It can be seen that China`s contribution to the development of Australia`s mining industry is still quite large.
At the same time, the data also show that more and more money is pouring into services such as health care. The only thing not involved is public administration and the security industry.
It is easy to see that Chinese investment in Australia has begun to diversify, no longer a single investment in a few industries. However, most of the money goes to New South Wales and Victoria, with less than 10 percent going to remote areas, which researchers believe is a potential for growth in the future.
And there has long been concern about state-owned acquisitions of Australian farmland and businesses. But according to the report, China`s government participation in sales is less than 20 percent of the total. This shows that much of Australia`s capital inflows are still dependent on private investment from China.
So far, though, the evidence and information have not been used to make the necessary analysis and make assertions about Chinese investment in Australia. But the figures do show how much money China is pouring into Australia.
