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Friday, February 17, 2017
Foreign institutions optimistic about soft-landing in Chinese economy
ANBOUND

At the end of last year, foreign institutions generally were pessimistic about China's economy in 2017. However, the recent view of this has changed. Our comprehensive analysis shows that there are several factors: the current round of real estate boom is not accompanied by large-scale new and development of investment; the real estate chain's industrial sector is further reorganizing; since 2016 there are efforts to promote the manufacturing industrial sector’s production, capacity price, inventory and that the basis of the cycle of investment has been repaired to a certain extent; industrial investment is expected to moderate recover in the future; the Central Government has recently increased bank financial products and other off-balance sheet supervision. In this regard, there are more and more foreign institutions expecting soft-landing in the Chinese economy, and their attitude is changing to cautious optimism. It is noteworthy that similar views will affect the expectations and capital flows of international capital in the Chinese market.

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