BIZ >> Expert assessment

A bubble not always bad if it leads to investments

What is the biggest bubble in the world today? The yuan. A bubble is not always bad, but the question is what to do after the bubble bursts?
Source: Global Times | 2018/2/5 0:08:39

Belt and Road requires new global dispute regime

In recent years, the Belt and Road (B&R) initiative has developed rapidly. Countries and regions along the route of the initiative have conducted in-depth cooperation in infrastructure, energy, trade, investment and finance since President Xi Jinping proposed the B&R initiative in 2013. However, along with such cooperation, disputes are also rising, making it extremely urgent to establish a dispute settlement regime for the B&R.
Source: Global Times | 2018/2/1 22:43:41

China, UK can work together in third countries

UK Prime Minister Theresa May arrived in Wuhan, Central China's Hubei Province on Wednesday to begin her three-day visit to China. A China-UK CEO Council was set up on Wednesday to offer a communication platform for companies from both countries, according to China's commerce ministry. Global Times London correspondent Sun Wei (GT) interviewed Sir William Ehrman, KCMG, former British Ambassador to China (Ehrman), on the sidelines of the China-UK Economic and Trade Forum held on January 18 in London, seeking his views on China-UK cooperation.
Source: Global Times | 2018/1/31 22:09:36

UK should abandon bias, seek closer ties with China

UK Prime Minister Theresa May was scheduled to arrive in China on Wednesday to pay a long overdue visit. The China trip comes against the background that a hard Brexit has become a fact. The UK and the EU have officially set March 2019 as the deadline for the UK to leave the EU.
Source: Global Times | 2018/1/30 20:58:39

Closing global wealth gaps requires cooperation

In recent years, the widening wealth gap in China has become a hot topic in the international media. However, virtually every country faces this problem. The latest report by Oxfam UK shows that 82 percent of the global wealth created in 2017 flowed to the richest 1 percent of the global population, while the world's poorest got nothing.
Source: Global Times | 2018/1/29 21:53:39

Legacy of QE policy portends long slide for US dollar

Despite the marked pick-up in economic momentum and a stellar spurt by US stocks, the US dollar has been on a protracted and steady road of depreciation. The euro, the yen, the Swiss franc and Canadian dollar have all jumped by a considerable magnitude.
Source: Global Times | 2018/1/28 19:33:39

Stronger yuan reflects improving of Chinese economy

The yuan's central parity rate on Thursday strengthened 192 basis points to 6.3724 against the US dollar, the highest level since November 2015. Earlier this month, the People's Bank of China (PBC), the country's central bank, reportedly removed a component known as the counter-cyclical factor from its mechanism of calculating the yuan's daily fixing against the US currency.
Source: Global Times | 2018/1/25 22:58:40

Planning is key for AI to support India's growth

With the rise of venture capital activity in India in recent years, money, projects and products from China's science and technology sectors have started to flow into India in large quantities. India is also vigorously developing its cloud computing, fifth-generation (5G) telecoms network, artificial intelligence (AI) and other emerging projects.
Source: Global Times | 2018/1/24 23:43:40

Cryptocurrency to bolster yuan's globalization

The internationalization of the yuan began as the Chinese people and Chinese enterprises began to go global. Clearing with the US dollar in international trade is unfavorable for the yuan, since the nation's foreign reserves contain a large amount of the US dollar and China is continuing to buy US government debt.
Source: Global Times | 2018/1/23 22:53:39

US 'allergy' to Chinese investment will hurt both sides

Saturday marks the one-year anniversary of Donald Trump's inauguration as US president. Over the past year, his country has shown a severe “allergy” to Chinese investment, tossing aside the international consensus on international investment relations.
Source: Global Times | 2018/1/22 23:43:39

China can provide new definitions of development aid

Earlier this month, Concetta Fierravanti-Wells, Australia's minister for international development and the Pacific, accused China of making the Pacific full of “useless buildings.” Her claim caused an uproar, but her view is not new.
Source: Global Times | 2018/1/21 23:33:39

Full speed ahead for China's economy in 2018

China's economy fared better in 2017 than a year earlier, growing 6.9 percent year-on-year with nominal GDP surpassing $12.5 trillion, the National Bureau of Statistics reported on Thursday. If calculated by purchasing power parity (PPP) – which the IMF did in 2015 – the size of the economy exceeded $20 trillion.
Source: Global Times | 2018/1/18 22:33:40

Japanese firms should adapt to changing China

Japanese conglomerate Nitto Denko Corp recently denied reports that it closed a plant in Suzhou, East China's Jiangsu Province. The company said, however, that it had decided to stop making polarizers, one of the most important components in liquid crystal displays, at that particular plant.
Source: Global Times | 2018/1/17 21:58:40

Market demand can best set yuan's true rate

Last year, the yuan appreciated by more than 6 percent, and it is important to understand the exchange-rate mechanism to interpret that appreciation. There are two key elements: one is supply and demand, in relation to the “countercyclical adjustment factor,” the other is the basket of currencies used by China. In 2017, supply and demand experienced significant changes, and capital outflows slid markedly. Supply and demand were relatively balanced, and the “countercyclical adjustment factor” had a stabilizing effect. These factors eased depreciation pressure on the yuan.
Source: Global Times | 2018/1/16 20:23:40

Effective solution required for fixing oversupply

Considering macroeconomic trends, global market competition, pressure to protect the environment and various uncertainties, we expect China's economy to grow more slowly in 2018 than in 2017, with expansion of about 6.5 percent.
Source: Global Times | 2018/1/15 22:58:39

Blended financing helps fill B&R project funding gaps

Blended financing is an emerging method of development funding that is being widely adopted by members of the Development Assistance Committee (DAC) of the Organisation for Economic Co-operation and Development (OECD).
Source: Global Times | 2018/1/14 21:23:39

Why US dollar may be spent force in 2018?

In 2017, the US Dollar Index ended its eight-year uptrend and declined by 10 percent throughout the year, making it the worst performing year since 2003. At the start of 2018, even under the dual boost of US tax reform and the Federal Reserve's interest rate increases, the dollar continued to weaken, which was outside the expectations of most market participants.
Source: Global Times | 2018/1/11 21:36:48

Longer-term plan needed to reach economic goals

While the Chinese economy grew at an annual rate of about 6.7 percent in recent years, its potential economic growth has been on the decline, falling by 0.1 to 0.2 percentage points annually.
Source: Global Times | 2018/1/10 23:13:40