NEW DELHI: For a host of reasons, China has become the center of global debate and scrutiny. The Western block of nations, which had nurtured the Chinese economy for most of the last three decades, have suddenly turned hostile. Worse, they are trying hard to reduce their dependence on China and decouple from it. This geopolitical reset comes coincidentally at a moment when the structural fault lines in the Chinese economy are worsening. The prolonged phase of runaway growth is petering out. And the means to achieving this growth—bankrolling of bad debts— are beginning to catch-up. The strains are visible in the slowdown in Chinese exports. Yet, institutions like the International Monetary Fund continue to project an impressive post-covid recovery of 5% plus growth. However, private agencies tracking China differ. While they concede that the economy will recover this year, its growth will be much lower; unlike anything in the past. So, what do we make of all this? To understand this and more we spoke to Shehzad Qazi, COO, China Beige Book International. China Beige Book hosts the world’s largest privately owned database on the Chinese economy.
