00:00Xiaolin Chen is head of international at Crane Shares. Thank you for joining me.
00:04So China aims to double its 2020 GDP per capita by 2035, creating what it says will be a moderately
00:12developed economy.
00:14Is that realistic, do you think?
00:16I think they have planned for many years to achieve this target.
00:21The reason I'm saying this is they have been preparing an economic rebalancing
00:26from industrial-driven to service-driven, now to technology-driven.
00:30I think with all these successfully, at least they successfully transit from industrial-driven
00:35to service-driven, now to technology-driven.
00:39A lot of the sectors that are mentioned early on in AI, in human life, in 6G,
00:44in all these technology sectors that China is focusing on developing,
00:47these are the new drivers for the country to focus in the next five years.
00:51But I think it's highly likely they can deliver the results for such reasons.
00:56They have new drivers coming for this country to continue to develop and build up on.
01:01And yet the headwinds are fierce, aren't they?
01:04Really tough times.
01:06China's economy is showing a great deal of resilience, though.
01:08Yes, that's absolutely.
01:10One key reason is, probably two, is the government's stability.
01:15In this world, in this market, the volatility, the uncertainties is all over the market.
01:21If you want to look for one country that has a complete supply chain, one,
01:26second, has a very stabilized or very accommodative and pronounced policy
01:32that investors know and understand about it, that's China.
01:36So I think in this world, China will continue to deliver what they aim to achieve
01:41to stimulate the domestic economy, to achieve the economic goal.
01:48So I think this is probably the time they should be more self-focused domestically
01:52to develop the economy, focus on consumer, focus on the new driver of technology, AI,
01:57all these sectors they mentioned, and they would be able to deliver the results.
02:01Now, they've announced they want to earmark 755 billion yuan,
02:05which is around 100 billion U.S. dollars, for investment.
02:09What sort of investment are they talking about?
02:11There could be a couple of sectors.
02:12One would be infrastructure, but modern infrastructure, like the new grid powers,
02:18new pipelines to support all these technologies to continue to develop.
02:22It's not the old real estate technology infrastructure anymore.
02:26That's one.
02:27And second, I think continue to be funding for these new sectors to allow credits into the market,
02:33credits available to this industry to allow such sectors to continue to develop.
02:38And then I think lastly, consumer, they go to continue to support trading program.
02:43Like I mentioned earlier on, this is a great achievement.
02:46Last year, 250 billion use in trading program.
02:49I think we will expect continuation of that effort.
02:53Italian Chen, thank you very much indeed.
02:55Thank you very much.
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