China recorded its first-ever quarterly deficit in foreign direct investment according to balance of payments data, underscoring capital outflow pressure. Direct investment liabilities were a deficit of $11.8 billion during the July-September period, the first quarterly shortfall since China began compiling the data in 1998. This could be linked to the impact of "de-risking" by Western countries from China, as well as China's interest rate disadvantage compared to rates outside of China being "higher for longer." China's basic balance recorded a deficit of $3.2 billion in the same period, only the second quarterly shortfall on record. Authorities are expected to continue interventions to support the yuan currency amid outflow pressures.