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News is not painting China in any negative light. Simply means that with the recent steps in US, the dollar would go back there. The Chinese bank is simply trying to fill in the void left.

If there is such problem, then China's official medias would indeed report it.

But this only came from a well-known anti-China propaganda media, it is quite suspicious.
 
This so-called "money shortage" rumor i've heard it for over a year, and those western medias should focus on their own stinky economy first, stop sticking their nose on China's business.
 
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Cash shortage in China?

lol

China's deposit reserve ratio is over 20% compared with India's low of 3.5%。

A half percentage reduction in the DRR releases 600 billion cash into the market

China's problem is that there is too much cash sloshing around。Fortunately the inflation is still low at some 2.5%,very unlike to the world's largest democracy where inflation levels have remained at about 10% for years。
 
Cash shortage in China?

lol

China's deposit reserve ratio is over 20% compared with India's low of 3.5%。

A half percentage reduction in the DRR releases 600 billion cash into the market

China's problem is that there is too much cash sloshing around。Fortunately the inflation is still low at some 2.5%,very unlike to the world's largest democracy where inflation levels have remained at about 10% for years。

India laughing at China about the economy is like an F-grade student laughing at an A-grade student getting a B grade.

Indian economy is finished.

Their inflation is over 10%, their current account deficit is massive, their currency has collapsed from 40 to 60, their industrial output is shrinking every other month.
 
Bernanke said he's "stopped" money injection into the system. What a joke. The dow jones was done again today. Wait until the DJ is down a week, the tone will change. It happened many times. I've invested in the US market for two year now and it's QE4 ever= DJ going up due to money printing.
 
China's service sector overtakes industry for first time
2014-01-22
09:19 (GMT+8)
China's service sector accounted for 46.1% of the country's GDP in 2013, outperforming the industrial sector for the first time, the National Bureau of Statistics said on Monday.

The change pointed to an upgrading in industrial structure, said Ma Jiantang, director of the bureau.

The second-placed sector, industry, took about 43.9% of the GDP.

China's economy grew 7.7% in 2013 from a year earlier, to 56.9 trillion yuan (US$9.3 trillion). The growth was the same as in 2012, overshooting the government target of 7.5%.

The agricultural sector, or the primary sector, climbed 4% year on year to 5.7 trillion yuan (US$941.7 billion), the industrial sector rose 7.8% to 25.0 trillion yuan (US$4.13 trillion) and the service sector expanded 8.3% to 26.2 trillion yuan (US$4.32 trillion), Ma said.

The service sector's outstripping of the industrial sector indicates "China's economy and society have entered a new phase," said Niu Li, an expert with the State Information Center.

According to Niu, this is in line with China's general economic growth and pattern of industrial upgrading.

New reforms in the country should focus on the service sector, especially finance, shipping and logistics, he added.

Zhang Liqun, an analyst with the Development Research Center of the State Council, said the service sector has huge capacity to absorb labor, while expending relatively little energy.

Though the improving ratio of the service sector against the economy is a trend that will continue in future, it should not replace efforts to transform and upgrade the manufacturing sector, Zhang said.

At the end of 2012, China issued its 12th five-year plan for the service sector. It aimed to raise both the proportion of GDP accounted for by the service sector and the ratio of service sector employment in the country's total employment by 4 percentage points in 2015 from 2010.
 
The service sector is still young and has so much room for further development。

The way is set for near 10% annual growth for the next 20 years。
 
Bad news. Once you lose your manufacturing base, it's all over. Service industries do not make the big bucks compare to manufacturing.
 
Bad news. Once you lose your manufacturing base, it's all over. Service industries do not make the big bucks compare to manufacturing.
It's not. Manufacturing makes money but caused environmental damage. It's good to have balance with service sector should account more for an advance economy.
 
It's not. Manufacturing makes money but caused environmental damage. It's good to have balance with service sector should account more for an advance economy.
the fastest growing economies around the world are manufacturing based economies and not service driven economies.
 

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