China’s structural issues, led by aging and the sharp reduction of the return on investment, have made economic reform more urgent than ever. At the same time, experts have predicted the impending collapse of the Chinese banking system for a long time. The collapse has not happened, and China’s economy continues to grow. What makes China’s economic and financial system so seemingly resilient? What are the risks which remain? And what are the implications for Europe, which is seeing greater rapid growth in China’s bond market as well as incoming investment flows in a variety of sectors?
We invite Alicia Garcia-Herrero, Senior Fellow at Bruegel and Chief Economist for the Asia Pacific at NATIXIS, to discuss.