(Yicai Global) Jan. 26 -- Chinese regulators have brought in new rules in to supervise all outbound investments that exceed USD300 million, as it looks to strengthen the quality of overseas of projects while reducing financial risks.

The government will also probe overseas investments concerning regions and sectors it deems sensitive, as well as projects that are loss-making or have poor safety records, China's commerce ministry confirmed in a new policy.

The country's investments abroad plunged last year to USD120 billion, down 29.4 percent annually following government efforts to crack down on low-quality or irrational projects through new guidelines. Real estate, sports and entertainment were the main sectors to see a significant fall.

Foreign direct investment from China had grown rapidly over the past decade reaching a peak of USD170.1 billion in 2016, representing a 44.1 percent surge over the year before.