Why Xi Jinping’s China remains a worry for the world

Why Xi Jinping’s China remains a worry for the world

China’s economy is facing its worst time for business confidence, both offshore and within borders. Xi Jinping’s hardline socialist approach is making businesses think twice before investing

December 06, 2023 / 10:38 AM IST

China’s economy is also going through structural changes and possible deflation.

Highlights:

Moody’s expects Chinese economy to grow just 4 percent in 2024 and 2025  
A ramp up in fiscal spending is needed but government is already burdened with record debt 
Capital outflows are increasing from China and local investor confidence is also weak 
Xi Jinping’s hardline socialist approach is making it complicated for businesses 
China’s economy is also going through structural changes and possible deflation 

 

It certainly won’t be the last of the clouds over China’s economy. Moody’s, on Tuesday, cut China’s government credit…

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