Study on China’s Investment In Central Asia

Abstract

The article is devoted to the current topic of today - politics and the economy of China with the countries of Central Asia. The paper poses the problems of China’s interests in Central Asia, as well as the prospects for cooperation between these countries. China's role in development of the modern economy is steadily increasing, and therefore the vector investment cooperation with this country is one of fundamental for the countries of Central Asia, which, in addition, are neighbors of China. For China, which has a very limited stock of natural resources, countries rich in oil, gas, and other resources become of strategic importance. The purpose of the study is to identify the results of a comparative analysis of the main interests of the PRC in the Central Asian region, namely in Kazakhstan and to determine the effect of three economic data on Chinese direct investment. To achieve this goal, the ''Kao Residual Cointegration Test'' and the “Pooled Least Squares" method were used. The research work is using the EViews software and the Pool Least Squares method. The main results were identified and shown in schematic form. The interests and volume of investments of the People’s Republic of China in Central Asia were identified in this area. The article has practical value and can be offered for reading to a different target audience.