THE IMPACT OF EXCHANGE RATE AND GROSS DOMESTIC PRODUCT AND INDUSTRY TO FOREIGN DIRECT INVESTMENT IN CHINA

Abstract

This study seeks to find out the impact of exchange rates and GDP and industry to foreign direct investment (FDI) in china. This study is using quantitative methods. Due to the development of society and economic progress, foreign direct investment plays an important role in the economic growth and development of the country. Especially for developing countries. This is critical for developing countries to increase capital. By expanding domestic capital formation, foreign direct investment has been very important in creating economic growth in China. In this study, the main objective is to assess: first is determining the impact of gross domestic product on foreign direct investment in China. Second is determining the impact of exchange rates on foreign direct investment in China. Third is determining the impact of industry on foreign direct investment in China. To achieve this, the researchers collected between 2000 and 2017 from the bank of China's website and other relevant website. Through SPSS analysis, the results show that the exchange rate and GDP have an influence of foreign direct investment in china, and the industry is no impact on foreign direct investment in china.