Map helps Chinese companies know global investment risks

A global risk map was released Tuesday, the first to analyze the risk for Chinese companies to invest in different overseas markets.

The map gave analysis from seven aspects, including politics, economy, business environment, safety and public health.

"It aims to provide information that domestic enterprises may have no access to, to know on the way to going global," said Hu Weiping, president of the China Overseas Development Association at the 2018 China Enterprises Going Global Risk Conference held March 20 in Zhuhai, South China's Guangdong province.

The Jiangtai International Association organized risk control management experts to give comments about the risks in investing in 150 major countries and regions worldwide.

The evaluation index includes per capita GDP, sovereign credit and corruption perceptions.

The map was separated into 15 regional sections, whose potential risks were spotted.

For example, it said if financial risk broke out, the business environment in the entire Americas region would be worse.

And since Australia has tightened regulations for foreign investment, the risk in investing in the country may rise, according to the map.

In 2017, Chinese mainland investors have made nonfinancial direct investments of up to 810 billion yuan ($128 billion) to about 6,200 companies in 174 countries and regions, statistics from the Ministry of Commerce showed.

In January and February, overseas investment from mainland investors grew 25.2 percent year-on-year, with four consecutive months of increase, it showed.

Shen Kaitao, chairman of Jiangtai International Association, said new challenges appear when there's a rise in more Chinese products and services going global.

Chinese enterprises need to improve the ability to recognize risk, guarantee safety and solve disputes, Shen said.