Experts on China's growth

CNC
Added On May 16, 2016

As China is seeking a healthier economic development, experts say the world's second largest economy is still full of potential.
 
They also believe that China has set an example for Southeast Asian countries who are looking for more sustainable and inclusive economic growth.
 
China's GDP grew 6.7 percent in the first quarter, slowing from 6.9 percent growth in the preceding quarter, but still in line with the official target of "a range of 6.5 to 7 percent growth" for 2016.
 
Economists say the Chinese economy is going through a difficult switching period and it is normal now.
 
SOUNDBITE(ENGLISH): TAMIM BAYOUMI, Senior Fellow at Peterson Institute for International Economics  
"The process the Chinese economy is going through, which is a very difficult one - it's switching from one way of leading growth - through exports and heavy industry, to another way, to the domestic economy and consumers. That's a very difficult path and we all know the Chinese economy will slow, in the process."
 
SOUNDBITE(RUSSIAN): PETR MOZIAS, National Research University's High School of Economics  
"The fact that Chinese economy is slowing down is no longer a secret. Our Chinese friends and colleagues call it as the new normalcy. 01.25-01.37
Now Chinese economy will have to get re-structed, re-balanced and in this regard economic slowdown has been objectively motivated and inevitable."
 
SOUNDBITE(ENGLISH):OH EI SUN, Nanyang Technological University 
"China does not have to worry too much about a slightly lower growth figure, compared to like 5 years ago or 10 years ago. As I have pointed out earlier, a slower growth in China which is still quite impressive compared to either the developing or the developed world, as actually not such a bad thing for China, because it enable China such as to ponder upon some of its future growth directions."
 
Western media has once again raised doubts on China's ability to transform its economy and achieve sustainable growth. 
 
The expert said there is fundamentally no basis to be overly pessimistic about the country's economic prospects.
 
SOUNDBITE(RUSSIAN): PETR MOZIAS, National Research University's High School of Economics 
"I think that is not necessarily so as Chinese economy does not simply cool off as it is facing important positive changes. I would draw attention to that rapid development of service sector is taking place. It has replaced processing industry as the leader of economic growth." 
 
Economists believe that innovation and entrepreneurship are two new engines for China's economy growth.
 
SOUNDBITE (CHINESE) GONG HUI, Co-founder of Crescent Tech:
"As China and the UK have unveiled their 'golden age' of cooperation, I think that has provided businessmen from both countries two great opportunities. First, Chinese enterprises could go abroad to invest and acquire under the framework of China's 'Belt and Road' initiative. And the UK is among their top destinations. Second, many high-tech British companies could come to China and expand their business." 
 
SOUNDBITE(RUSSIAN): PETR MOZIAS, National Research University's High School of Economics 
"Both Chinese leadership and Chinese companies are giving special priority to their own technologies and innovations. And it is natural, because the previous factor of competitiveness related to cheap labour force is disappearing, so they have to find new sources of competitiveness." 
 
SOUNDBITE(ENGLISH):OH EI SUN, Nanyang Technological University 
"The explosive growth enjoyed by China over the past 20 to 30 years is indeed very phenomenal, but it need to be filter down into the various stretch of the society, and I think in the next 5 to 10 years, in addition to maintain a certain level of growth, how to make sure this level of growth is enjoyed by the wider spectrum of the Chinese society. It's important not only for the Chinese society but also the economic well-being of the rest of the region as well. So to that extent, I think the Chinese government is right focusing on inclusive society, a more sustainable or what you call green growth as well as innovation as the propellant for China to move forward."
 
The expert added that Southeast Asian countries should start to follow China's example in looking for more sustainable and inclusive economic growth.
 
SOUNDBITE(ENGLISH):OH EI SUN, Nanyang Technological University 
"I think the rest of the region here, we should similarly adopt this idea of improving the quality of the economy, the innovative aspect of the economy, the more sustainable aspect, the more inclusive aspect of the economy, because so of the economic problem faced by China, they are also faced similarly by many countries in the region, namely in the explosive growth phase of this developing part of the world, sometimes not every stretch of the society is enjoying the fruit of the growth, and sometime the quality of the growth is to be further improved."
 
SOUNDBITE(RUSSIAN): PETR MOZIAS, National Research University's High School of Economics 
"The Chinese experience is very valuable in many aspects. And many elements may be interesting to other countries. These include the gradual approach of the reforms, experimental implementation of the reforms in free economic zones, as well as a special ideological support for forming a new system of social values, and thus maintenance of the social and psychological stability."