Abu Dhabi-based sovereign fund makes a big bet on China with firms like Didi Chuxing

  • China will continue to grow says UAE sovereign fund chief
  • The Abu Dhabi-based fund is teaming up with Chinese agencies to further investment
  • Al Mubarak says ride hailing apps are an area of huge potential

The CEO of one of the world's largest sovereign wealth funds has told CNBC that he sees continued growth for the Chinese economy — and he named one of his favorite companies there.

Mubadala, an Abu Dhabi-based fund, has invested in the country by partnering with China Development Bank Capital and China's State Administration of Foreign Exchange to establish UAE-China Joint Investment Fund.

Mubadala CEO Khaldoon Al Mubarak told CNBC Thursday that the fund had already deployed more than $700 million in a big bet on Chinese growth.

"We believe China is an economy that's going to continuously grow at attractive growth rates and that the opportunities lie within that economy," he said.

Al Mubarak said his firm also invested in SoftBank's $93 billion Vision Fund — the largest tech fund ever put together — which is also pushing cash into Chinese companies.

And as markets buzz about the fund-raising efforts of Uber Technologies, Mubadala is looking at a rival ride-hailing giant. One of the firms that Mubadala is backing via the SoftBank fund is China's Didi Chuxing.

"I think it's a great company," he said, adding that he thought Jean Liu, the president of Didi Chuxing, has done a "phenomenal job."

"And that space is a space that we think has a lot of growth in the future," Al Mubarak said.

Abu Dhabi-based Mubadala has around $125 billion of assets under management.