A cool assessment of China's rise as Asia's second-strongest country in financial assets

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In recent years China’s national wealth has grown rapidly. According to the 2012 World Wealth Report issued by German financial services provider Allianz Group, the Chinese mainland’s financial assets hit 6.5 trillion euros, ranking second in Asia, although per capita wealth ranks only 38th in the world. China’s credit is increasing faster than the Asian average.

Experts indicate that the rapid development of China’s economy has substantially increased national wealth. At the same time we cannot ignore some of the problems thrown up by this high-speed development, problems like credit-based asset growth and unequal distribution of income. Therefore we should maintain a cool head over the fact that China has become the second largest country in Asia in terms of financial assets.

Middle class on the rise

The World Wealth Report indicates that in 2102 the total assets of individual households throughout the world rose by 8.1 percent, the most dynamic growth in the past 6 years. This has been caused mainly by rising stock markets. Assets in the form of stocks have increased by 10.4 percent, bringing the total value of global assets to 111 trillion euros.

Asia is the region with the fastest growth in financial asset values. China's performance is outstanding in the region, with total net assets ranking just behind Japan.

China’s growth is due to rapid economic development over the last decade, which has dramatically increased per capita assets and given rise to a large middle class population. The report shows that the world’s middle class population has increased by 140 million.

The result of this wealth accumulation in China has been that one section of the population is prospering faster than the rest. But private entrepreneurs create wealth through their wisdom and effort. In addition, real estate development also creates wealth and job opportunities, said Xu Hongcai, a senior economist with the China Center for International Economic Exchange.

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