|
|
From Komfie Manalo, Opalesque Asia:
Uli Sigg, who currently serves as a member of the advisory board of the China Development Bank and other Chinese entities, believes that the new leadership in China will most likely give an impetus to growth again, offers good investment opportunities but one must continue to be selective.
Sigg, a passionate art collector, spent several years in China and follows the country’s economic reform and contemporary art scene closely. He recently told Sona Blessing on Opalesque Radio, "Infrastructure is always an issue and then social media companies, internet companies are an issue; and then the basics like consumer goods etc. will all benefit from more growth."
Despite the outsized investment cashflows that the latter growth sectors have already attracted, and based on statistics, Sigg said that Chinese consumption, pretty much across the board, remains rather low for most things ranging from daily to luxury goods. He adds, "That this growth can only be exploited provided the purchasing power increases. The government is driving up salaries as a policy, it is also what the West always demanded, is happening in that sense. Purchasing power is growing, particularly in the cities and eventually also in rural China, so there is room to grow."
Asked on whether Chinese real estate was in a bubble, Sigg noted that "it is very difficult to assess. In Beijing and...................... To view our full article Click here
|
|
RSS
