From the angle of the financial reporting quality, with China’s A-share listed companies in Shanghai and Shenzhen from 2007 to 2013 as research samples, this paper studies the influence of financial reporting quality on the corporate investment efficiency. Furthermore, the paper divides investment efficiency into underinvestment and overinvestment, and analyzes the influence of financial reporting quality on the two different kinds of investment mode. The results show that the financial reporting quality improves the corporate investment efficiency. Besides, there exists a significantly negative correlation between insufficient investment and financial reporting quality. Namely, the high quality financial reporting reduces enterprise inadequate investment phenomenon, and the inhibition effect of financial reporting quality on overinvestment is not obvious.