国内英语新闻:Premier Wen refutes allegation Chinese investment environment worsening

XI'AN, July 17 (Xinhua) -- It is untrue to say that the investment environment in China is worsening, said Chinese Premier Wen Jiabao Saturday as he invited more foreign companies to invest in the country.

China sticks to its opening-up policy, Wen added.

In talks with heads of prestigious German and Chinese firms in northwest China's Xi'an city, Wen and visiting German Chancellor Angela Merkel aim to boost cooperation between the two nations.

"Currently, there is an allegation that China's investment environment is worsening. I think it is untrue," said Wen when answering a question from Juergen Hambrecht, chief executive of German chemical company BASF.

Foreign firms have voiced concern China's indigenous innovation policy might provide incentives for government bodies to purchase products developed by Chinese companies.

The World Bank in a July report gave China a low investment environment ranking.

But the amount of foreign direct investment (FDI) that flowed into China in the first half of the year rose 19.6 percent year on year, according to data from the Ministry of Commerce (MOC).

China attracted 12.51 billion U.S. dollars in FDI in June alone, up 39.6 percent year on year.

Wen said, "Foreign investment will not pour into a country where the investment environment is worsening."

Wen said China has relatively good infrastructure as well as fair and stable market environment.