Date: 18 Oct 2022 (Tue)
CUHK-Tsinghua University Brownbag Seminar:
Financial Spillovers of Foreign Direct Investment: Evidence from China
18 Oct 2022, Tuesday
12:20 pm – 1:20 pm (Hong Kong Time, UTC+8)
Shujie WU, The Chinese University of Hong Kong
We study the financial spillovers of Foreign Direct Investment (FDI) to local suppliers through supply chains. Using rich Chinese firm-level data, we find that greater downstream FDI concentration significantly reduces local suppliers’ trade credit provision and improves their access to bank loans. We also make efforts to rule out alternative explanations for our findings. Finally, we provide additional supportive evidence using information on direct firm-level supplier-customer links.
Tencent Meeting information: