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Declining private investment casts shadow over China’s economic outlook

By
Author
 
First name
Jens
 
Presthus
 
First name
Thomas
 
Gratowski
Body

A GC team has just returned from Hong Kong, where we held discussions with a series of private domestic and foreign investors about the outlook for China. Many pointed out how private investment, from both domestic and foreign sources, is declining just as China needs more of it. Geopolitics is partly to blame, but an uncertain domestic political environment is also holding back private sector activity. This is increasingly being referred to as a key reason China’s long-term growth outlook is weakening.

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