China's net int'l investment position hit $662 bln at year-end 2006

China's net international investment position (IIP) at the end of 2006 surged 57 percent from a year earlier, according to the State Administration of Foreign Exchange (SAFE).

China's net IIP reached 662.1 billion U.S. dollars as the value of its investments abroad exceeded that of the foreign investments in the country, SAFE said.

Analysts said the growth was boosted by China's rapid rise in foreign exchange reserves and overseas investment.

China's external financial assets rose 33 percent from a year earlier to 1,626.6 billion U.S. dollars by the end of last year, said SAFE.

Among the external financial assets, foreign exchange reserves stood at 1,072.9 billion U.S. dollars, overseas direct investment at 82.4 billion U.S. dollars, securities investment at 229.2 billion U.S. dollars, and 242 billion U.S. dollars in unspecified investments.

Meanwhile, China's liabilities hit 964.5 billion U.S. dollars, up 21 percent from a year earlier. Foreign direct investment reached 544.2 billion U.S. dollars, securities investment hit 120.7 billion U.S. dollars and 299.6 billion U.S. dollars in unspecified investments.

A country's international investment position is a financial statement setting out the value and composition of that country's external financial assets and liabilities.

                                                                Source:Xinhuanet