Newsletter By 2023-09-15
The overall relationship between India and the U.S. is moving toward a historically close period, while India's relationship with China is relatively at a low point, discussed
He Jun, Director of Macro-Economy Research Center and Senior Researcher at ANBOUND. In the future, there may still be significant friction in India-China relations. As a nation with a strong sense of independence, ambition to become a great power, and increasingly intense nationalist sentiments, India is unlikely to form a truly close alliance with the U.S. but will use it to gain more benefits. The future of India-China relations will be observed, largely in view of the change of geopolitical situation.
>>For years,
ANBOUND’s founder Kung Chan has emphasized a critical point: China’s real estate industry is riddled with inherent risks. Many underestimate this reality. Over the past few decades, the government operations heavily rely on the rise in property and land prices. For a long time, China overwhelmingly depended on the power of capital, to a degree that even surpasses capitalist countries. The nation's prosperity is contingent on capital formation, seemly constituting a form of absolute capitalism. The tricky point lies in that relying on the strength of capitalists to build a "wealth equality" society, an impossible task with a significant paradox.
>>To enhance efficiency, there are two paths to be explored for both climate policies and action plans. One is when formulating financial risk regulation policies, it is crucial to bolster the exchange of climate information among entities of both the public and private sectors. This helps to improve market transparency, uphold financial stability, and adequately address the escalating requirement for climate-related investments. Another is that promoting collaborative efforts among climate technology-oriented enterprises to establish a "Climate Joint Fund" stands as an important step in achieving the circulation of scientific technology and fostering global innovation. This proactive approach not only secures long-term financial gains but also underscores commitment to corporate social responsibility, in the opinion of
Yi Wang, Head of Global Development Program at ANBOUND.
>>Regarding the trends of the Chinese yuan, among the numerous complexes, two aspects remain pivotal: first, the economic fundamentals of China and the United States; and second, elements formed by a series of policies. The former affects investors' assessments of market prospects, while the latter influences their judgments on geopolitical developments, subsequently impacting market confidence. Given the current circumstances, it appears that the yuan depreciation has not reached its ending. If the above two aspects continue to deteriorate, the depreciation trend may persist. Whether the yuan will reach its bottom or rebound, it also hinges on the stability of these two aspects, discussed economists at ANBOUND.
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