00:00Andrew Sheng is the Distinguished Fellow at the Asia Global Institute.
00:05Well, this is a very comprehensive plan.
00:09It builds on the earlier five-year plans,
00:13and each of them have faced the context of changing environment, adapted to it,
00:21and it set out its principles very clearly, high-level principles,
00:25what it wants to achieve, which is a people-first, high-quality, high-standard development,
00:33self-reliant, moving towards high technology, better consumption, well-being for the people,
00:43and a green, inclusive environment of beautiful China.
00:49The communique says that socialist modernization by 2035 is the goal,
00:57and that the next five years in particular are going to be critical.
01:01How do you interpret that for the Chinese economy and banking?
01:07Well, the Chinese economy cannot be just considered on its own internal issues,
01:14whereas the external environment, as you know, is, at the best, well put it, very contentious.
01:26And it is very important, therefore, that China, because it is the second largest economy in the world,
01:32largest manufacturing, largest trading partner,
01:35steer a very clear path towards prosperity and stability
01:41that is a win-win for the world as a whole.
01:44Now, as you mentioned, the global context is one of great uncertainty at this time.
01:50I'm wondering how these long-term plans for China help the country to manage uncertainties.
01:58How do you get the balance between planning and being able to adapt to sudden changes?
02:04And I think, for example, of what's going on with the tariffs coming from the United States.
02:09Well, the tariffs are actually an external shock.
02:16But increasingly, as you know, Chinese trade is going down as a proportion of total GDP.
02:24So its significance over time will be reduced
02:29as the country develops more and more domestic engines of growth,
02:33particularly internal consumption.
02:35That internal consumption, including the investments, not only at the regional level,
02:43but also creating a better environment, rural rejuvenation,
02:50investments in high-quality technology, using much better, let's say, capital markets,
02:58on top of the present banking system.
03:00All these is a comprehensive, in a way, push to ensure much more resilient national growth
03:08within the context of external uncertainty.
03:12What message do these recommendations then send to global investors who are watching China's market?
03:19Well, global investors should be very encouraged that, number one,
03:26the opening up strategy is still, you know, on track.
03:30There is no such thing as more protectionism.
03:34You know, opening up is definitely carrying on.
03:36Number two, the seek for high-quality growth that is going to be inclusive and green
03:43will open up, you know, new opportunities.
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