Economy

A deserted road in the central business district in Beijing, China, on 29 November 2022. (Bloomberg)

China is facing a harsh economic winter

Commentator Chen Kuohsiang notes that even after the 20th Party Congress and talks between Chinese and US Presidents Xi Jinping and Joe Biden during the G20 summit, the Chinese economy is not facing an easy time, not least because of Covid-19 controls, the US's trade restrictions and China's stringent policy on private enterprises.
Office towers in the Lujiazui financial district of Shanghai, China, 17 October 2022. (Reuters/Aly Song)

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Residential buildings under construction in Shanghai, China, on 9 November 2022. (Qilai Shen/Bloomberg)

China lines up yet more aid for the property sector, but will it be enough?

Caixin notes that China is poised to roll out more policies to assist developers in an increasingly desperate attempt to arrest a protracted downturn of the multi-trillion-dollar property sector. However, amid the perform storm of changing demographics, Covid-19 disruptions, weakening demand and Beijing’s campaign of deleveraging, industry practitioners are bracing for a tough battle.
A woman walks across the street during morning rush hour, following the outbreak of the coronavirus disease (COVID-19), in the Central Business District (CBD) in Chaoyang District, Beijing, China, 21 November 2022. (Tingshu Wang/Reuters)

Why the 20th Party Congress was not a 'decisive victory' for Xi

Japanese researcher Toshiya Tsugami observes that the exuberant tone of China's previous Party Congress reports has been carried over in this year’s 20th Party Congress. However, the external environment has changed much for China and its targets could be a stretch in this context.
Pedestrians cross a road in front of the Bank of Korea headquarters in Seoul, South Korea, on 12 October 2022. (Jung Yeon-je/AFP)

Is South Korea’s economy in trouble?

Often referred to as the world’s economic “canary in the coal mine”, South Korea has seen its economy tumble over the past year, impacted by external factors such as US interest rate hikes and signs of recession in key trade partners. The accumulation of domestic factors — currency crisis, tumbling stock market and rising inflation — is also hitting the South Korean economy hard. However, this industrial powerhouse has the domestic means to climb out of the doldrums.
People walk along a main shopping area during the Alibaba's Singles' Day shopping festival in Shanghai, China, 11 November 2021. (Aly Song/Reuters)

China’s economic outlook is not bleak

China’s 20th Party Congress signalled that the government is focused on dual circulation, in particular domestic circulation. However, that does not mean that China has the intention for implementing a closed-door policy. In fact, a healthy domestic circulation will boost China's ecosystem for innovation and growth and help China further open up.
People cross a street on The Bund in Shanghai, China, on 12 October 2022. (Hector Retamal/AFP)

China’s rich are getting richer

In 2021, more Chinese families became either rich or richer, with Guangdong overtaking Beijing as the region with the most high-net-worth families in the country. These high-net-worth households largely made up of entrepreneurs, real estate investors and professional financial investors, are expected to transfer an estimated 18 trillion RMB of wealth to the next generation over the next decade.
A building under construction in Shenzhen, China, on 19 November 2022. (Qilai Shen/Bloomberg)

Can China save its property market and economy amid fastest-spreading outbreak to date?

Zaobao correspondent Yang Danxu takes a look at China’s ailing property market and the various measures taken by property companies and the authorities to boost sales and ensure that homes are completed and handed over to buyers. While the intention is good, will they work under the current Covid-19 situation?
This illustration shows Chinese yuan banknotes, 30 May 2022. (Dado Ruvic/Reuters)

China's efforts to internationalise RMB gaining a foothold in SEA

NUS academic Xu Le explains why China's project to internationalise the RMB still has much room to grow. In that regard, the ASEAN countries could play a role, given their desire to be less reliant on the US dollar.