Latest News:  


Slower economic growth set to be a winning choice


14:24, July 16, 2013

Some people may panic as China's economy slows amid a belt-tightening monetary policy and economic restructuring. But Jim Rogers, an international investment guru, sees it differently.

"An economic slowdown is like a forest fire (that gets rid of the underbrush) in a forest. It's terrible at first, but then it cleans out the excesses of the current system, and everyone will be better off when the economy starts over from a sound base," said Rogers in an exclusive interview with China Daily.

"It's happening in China at the moment as the government stays tight to cool things down. But I think it's a good thing," he added.

The government said in a guideline issued on July 5 that it would continue belt-tightening and scale back the supply of funds in the market to a reasonable level to contain a debt-fueled economic boom.

The guideline came after a liquidity crunch, which triggered a dive in the stock market and pushed interbank rates to record highs, had eased. But economic concerns linger.

"The current prudent monetary policy is appropriate and effective on the whole at the moment, given that China's economic and financial conditions are stable and consumer inflation is tame," said Zhou Xiaochuan, governor of the central bank, at the Lujiazui Forum in late June in Shanghai.

"The Chinese government does have a plan to stay tight to calm things down. Some people are going to suffer, and that's what's happening. But that will be good for China in the end," said Rogers.

"Even if some sectors of the Chinese economy have a hard landing and some people go bankrupt, people (doing business) in other sectors, such as agriculture, culture, pollution, etc, will not be affected at all, because these fields will enjoy great prosperity in the years to come," he added.

These fields, Rogers said, will be new sweet spots for investment in China.

He said all countries that rise have periodic setbacks along the way, but that's the way the world works.

"China is going to be the most important country in the 21st century, and eventually the largest economy in the world," he said.

We Recommend:

How did Chinese solar industry go bankrupt?

Born to lead: 2nd gen of Chinese tycoons

Chinese graduates’ unconventional jobs

China's largest railway terminal officially opens

Dazzling gems shine at Beijing jewelry show

Boeing 787 Dreamliner to serve Beijing-Haikou route

New high-speed rail linking Nanjing, Ningbo opens

Jiaxing-Shaoxing Sea Bridge in E China

Chinese investors' happiness and sadness

Email|Print|Comments(Editor:WangXin、Gao Yinan)

Leave your comment0 comments

  1. Name


Selections for you

  1. "Peace Ark" provides medical treatment

  2. Exchange between the PLAN and the CTF-465

  3. Protest held to demand release of prisoners

  4. Rape victim's mother wins labor camp lawsuit

  5. A glimpse of residents' daily life in China's Sansha city

  6. Sea foods, a luxury bite in summer

  7. Rare painted bronze ware excavated

  8. Angelababy covers BAZAAR

  9. History of China's auto industry

  10. Migrant workes' high incomes not that rosy

Most Popular


  1. China's economic growth slows to steadier pace
  2. Investing abroad not easy: Experts
  3. Reinvigorated CCTV gala brings hope for art scene
  4. China's anti-dumping probe is not retaliatory
  5. China's economic growth slows to steadier pace
  6. Washington must overhaul bipolar way of thinking
  7. Why the customer remains the king
  8. Going mobile is the key to business success
  9. Drone strikes only serve to help anti-Americanism
  10. State must control capital: Justin Yifu Lin

What’s happening in China

College student car models show youthful vigor

  1. Beijing metro fare hike 'speculation'
  2. Lushan post-quake work to cost nearly $14b
  3. Probes show dangerous straws on sale
  4. Beijing beefs up flood safety
  5. Rains continue to wreck havoc in China