Assessing China’s Investment Risk of the Maritime Silk Road: A Model Based on Multiple Machine Learning Methods

The maritime silk road policy of China brings opportunities to companies relating overseas investment. Despite the investment potentials, risks cannot be ignored and have still not been well assessed. Considering fact that ICRG comprehensive risk has certain subjectivity, it is completely applicable China’s Therefore, based on data Statistical Yearbook International Yearbook, a new indictor adopted better capture Chinese make our prediction more objective. In order acquire ability predict in future which essential stakeholders, machine learning techniques are applied by training previous year Outward Foreign Direct Investment (OFDI) next together. Finally, relative reliable link built between OFDI indicator left indicators last with both best precision score 86% recall (KNN method). Additionally, KNN method performance than other algorithms even for high-level risk, concerning stakeholders. selected model only used an objective reasonable level, but can also provide predictions suggestions