The New Crazy Emigration of Rich Chinese People

The Chinese Communist party under its new leader Xi Jinping unveiled a striking programme of reforms aimed at rebalancing the world’s second-biggest economy in favour of market forces and the private sector.

Under its 60-point reform plan Xi’s new administration promised to get rid of obstacles that had been holding back consumer-led growth in China — including enforcing a property tax, granting more land rights to farmers and migrant workers, and opening state-controlled sectors to private capital.

FT https://www.ft.com/content/92cbe94d-05a0-4ece-bca9-68cb82244b17

 

The state’s tight grip was about to ease. If implemented as planned, analysts predicted at the time, China could maintain 7 per cent annual gross domestic product growth for at least the decade to come and make the transition into the category of high-income nations.

Almost 10 years on, many of those promises remain unfulfilled. At the same time, the Chinese economy faces diminishing returns after relying for years on growth that has been propelled by a debt-fuelled real estate investment boom.

Battered by Xi’s controversial zero-Covid policy, stiffening global economic headwinds and a slumping housing market, this year is set to mark the first time since the early 1990s that China’s growth rate will fall behind the rest of the region.