SEZ & Poverty reduction

1. SEZ & Poverty reduction Yuan YiMing Deputy Director of CCSEZR Email:1033936970@qq.com

2. Poverty reduction in China Over the past 25 years China has made remarkable achievement in poverty reduction 

3. Poverty reduction in China

4. Poverty reduction in China However poverty reduction progress is uneven !

5. Poverty reduction in China

6. SEZ & Poverty Reduction • FDI was an important driving force for poverty reduction and employment promotion in SEZs

7. SEZ & Poverty Reduction

8. SEZ & Poverty Reduction

9. SEZ & Poverty Reduction

10. SEZ & Poverty Reduction

11. 30 across provinces migration flows

12. immigrants FDI in SEZ has provide many opportunities for immigrants

13. Poverty reduction mechanism of FDI and employment effects of the poor are different in each stage

14. Non-FDI foreign investment in the early stage of economic take-off has an important contribution to poverty reduction

15. Non-FDI foreign investment in the early stage of economic take-off has an important contribution to poverty reduction The proportion of “Three-plus-one” trading-mix income on the total (sample survey in baoan district)

16. Average staff of Gang-Ao-Tai &foreign enterprises average staff

17. Stable primary processing industry rather than the premature capital-intensive and tech-intensive industry can give full play to the foreign capital’s poverty reduction.

18. Export-oriented economic take-off path is effective to poverty reduction

19. The trend of Shen Zhen FDI on employment - poverty reduction is descending

20. SEZ & Poverty Reduction • The direct employment effect of FDI on the low-skilled workers weakened, while the technological substitution effect of FDI increased, as a result, the total poverty reduction effects declined.

21. Capital & technology -intensive

22. SEZ & Poverty Reduction • FDI’s impact on employment promotion and poverty reduction experienced transformation from direct industrial demand to indirect effects, and its poverty reduction effect gradually weakened.

23. Empirical support Non-FDI played an important role in creating employment opportunities for low-skilled workers in the initial period of economic development.

24. Empirical support The relationship between FDI and the low-skilled worker’s employment are significantly positive correlated

25. Empirical support FDI and foreign processing export trade were important factors of employment promotion and poverty reduction

26. Implications for Africa • Government should encourage foreign investment in the form of processing trade form rather than FDI during the economic take-off time, so as to provide more employment opportunities for the low skill labor.

27. Processing trade provide more employment opportunities for the low skill labor

28. Implications for Africa • Stable primary processing industry rather than the premature capital-intensive and tech-intensive industry can give full play to the foreign capital’s poverty reduction

29. VS

30. Implications for Africa • Export-oriented economic take-off path is effective to poverty reduction

31. Export-oriented economy

32. Thank you !