Jiangsu Province has
convenient ocean, land and air transportation and great transportation capacity.
There are 128 regular higher education institutions in Jiangsu, ranking the
first by number in China. By the end of 2012, Jiangsu has a gross product of RMB5405.822
billion, accounting for 10.4% of the GDP of China as per Jiangsu Statistics
Bureau (2013). According to the statistics of the National Bureau of Statistics
of the People’s Republic of China (2013), in 2012 in China, Jiangsu Province’s economy ranked the second. With its
advantages Jiangsu has attracted foreign direct investment (FDI) from all over
the world. In 2012, there were 4156 contracted FDI projects. The contracted and
the actually utilized FDI values reached US$57.14109 billion and US$35.75956 billion
respectively. Not only has FDI brought capital, advanced technology,
state-of-the-art management methods etc. for Jiangsu, but also it plays a very
important role in Jiangsu’s economic development. However, in Jiangsu’s
utilizing FDI some problems are existing, such as industries tending to be of
the low end, imbalance in industry distribution, weak absorptive capacity of
high technology, leading to environment pollution etc. This paper aims at
analyzing the problems by SWOT method and puts forward some countermeasures for
Jiangsu to develop its economy effectively by means of FDI.
Cite this paper
Liu, S. and Mei, Y. (2014) Study on the Existing Problems and Their Countermeasures of the FDI Utilization in Jiangsu. Open Journal of Social Sciences
, 54-58. doi: 10.4236/jss.2014.29009
 De Mello Jr., L.R. (1997) Foreign Direct Investment in Developing Countries and Growth: A Selective Survey. The Journal of Development Studies, 34, 1-34. http://dx.doi.org/10.1080/00220389708422501
 Hill, H. and Athukorala, P. (1998) Foreign Investment in Asian: A Survey. Asian-Pacific Economic Literature, 12, 23- 50.
 Kumar, N. (2002) Globalization and the Quality of Foreign Direct Investment. Oxford University Press, New Delhi.
 Sang, B.C. (2004) Why Does China Need to Use FDI Actively? International Economic Cooperation, 11.
 Krogstrup, S. and Matar, L. (2005) Foreign Direct Investment, Absorptive Capacity and Growth in the Arab World. Graduate Institute of International Studies, Geneva.
 Johnson, A. (2006) The Effects of FDI Inflows on Host Country Economic Growth. CESIS Working Paper Series, Paper No.58, Royal Institute of Technology, Sweden.
 Zu, Q. and Zhou Z.Y. (2008) Relations between FDI and Jiangsu’s Economic Growth. Economic Study, 4, 50-53.
 Hao, S.J., Gu, Y.P. and Dong, P. (2010) Analysis on the Effects of FDI on Jiangsu Economic Development, Statistics Science and Practice, 12, 22-24.
 Wan, L. and Zang, X. (2010) The Present Situation, Problems and Suggestions of FDI Use in Jiangsu’s Agriculture, Journal of Jiangsu Institute of Education (Social Science), 1, 102-104.
 Bu, S.J. (2012) Study on the Effect on the Environment Quality of FDI in Jiangsu. Journal of Zhengzhou Institute of Aeronautical Industry Management, 11, 70-73.