Experts spot silver linings in challenging times
Editor's Note:
Deepening reform efforts and a cooling real estate market pulled China's economic growth pace to multi-year lows during the latter months of 2014. What's in store for the country in 2015? The Global Times interviewed experts to get their views on the economic outlook this year.
In 2015, the renminbi could face a new round of depreciation. Just as with the euro, the yen and many other non-US dollar currencies, the yuan may start to weaken.
Actually, a strong renminbi has been putting pressure on Chinese export manufacturers, many of whom are also grappling with rising wages and other costs. A weaker yuan will make Chinese exports more competitive in the global market.
Overseas, the US Federal Reserve announced the end of its quantitative easing program at the end of October. Rising interest rates and a strengthening greenback may draw capital away from emerging-market countries, including China, potentially diverting a certain amount of financial support for businesses. China's capital controls though should avert a sudden capital flight, sparing the economy any dramatic repercussions.
Source:Global Times Published: 2015-1-4
