As OFDI has increased in China, there exists a big OFDI gap between different regions. The study was conducted using a set of 30 provinces over the period of time 2003-2009 to explore the factors influencing the OFDI of different regions. The main finding of this paper is that after controlling the relative variables, the institutional environment and financial development have positive effects on the OFDI of different regions. At the provincial level, we find that Institutional environment has no significant effect on eastern regions, while financial development has. Institutional environment has significant effect on middle and western regions, while financial development has not.