Chinese investment in Australia falls by 36 percent

Chinese investment in Australia fell by 36.3 percent or AUD 8.2 billion in 2018, according to a new report by KPMG and the University of Sydney. SBS German spoke to Professor Hans Hendrischke to find out more.

A woman demonstrates her passion for China and Australia. Source: AFP

Global insecurity about Chinese investment seems to be the main reason for the decline. However, recent policy changes in China are not helping, according to the report.

For example, while Chinese businesses still see Australia as an attractive country in which to invest, they are finding it harder to move money out of China.

"Large strategic investments in resources, energy and infrastructure have given way to smaller investments and in projects that are tactical and directly linked to Chinese consumer market demand."

Sydney Uni Professor of Chinese Business and Management, Hans Hendrischke, who co-authored the report

Professor Hans Hendrischke, MA, PhD Bochum University Source: University of Sydney