Study on Utilizing Foreign Direct Investment in Underdeveloped Areas

Abstract

The use of foreign investment is an important engine of developing inland opening economy. In 2012, in face of weak external demand, insufficient domestic effective demand and other serious and complex economic situation, the introduce of foreign investment in Guizhou keeps high growth , the actual use of foreign capital breakthrough $1 billion for the first time, up to $1.046 billion, growing by 55.35% year on year. The total amount ranked the sixth and the growth ranked the third in western regions. The utilization of foreign investment has realized the improvement of speed, quality and efficiency. The economic contribution of foreign investment to Guizhou has improved continuously, laying a solid foundation to accelerating the speed of economic development for Guizhou. But we also found many problems existing in the process of attracting foreign investment in Guizhou. And we need to seek reasonable countermeasures to further strengthen the role of foreign investment in promoting the economy of Guizhou and improve the core competitiveness of Guizhou to realize sustainable development of the economy.