China Has 50T in Assets Earning Less Than 1pc

Zhu Rongji's son, Zhu Yunlai, a financial expert and former president and chief executive officer of China International Capital Corporation, delivered a keynote speech on the theme of "economic situation and structural reform."
We look at a few big industries, the coal, steel, electricity, transportation, real estate, these five industries add up to nearly 50 trillion of assets, but the basic rate of return of less than 1%, 50 trillion what is the concept? Our entire industrial assets are almost 102 trillion, which if the coal and steel belonging to the industrial part, they add up to almost 10 trillion. This is a big head in the economy, our profit margins, the rate of return in the systematic decline in debt ratio is on the rise. From here you can see the economic structure, especially through the system of macro statistics, we can see the impact is relatively large.
iFeng: 朱镕基之子谈改革:五大产业资产50万亿 回报率不足1%

The problem is as it ever was: there is too much debt backing assets with low ROI due to overcapacity. The path forward for the economy at large is to outgrow these sectors, but in the process, the economy will also outgrow the control of party members. Hence the snail's pace.

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