UBS' Kwok Says China's Potential Growth Is Coming Down

The video discusses China's economic index, highlighting a slight increase from the forecast. It explores the country's gradual economic slowdown, emphasizing a shift towards quality over quantity and moving up the value chain. The discussion covers the impact of demographics, structural reforms, and innovation challenges. It also examines the effects of deleveraging and credit growth on future economic stability, projecting a potential stabilization of debt to GDP within five years.

What is the primary focus of China's economic strategy as discussed in the first section?

• Reducing foreign investments

• Shifting from quantity to quality in growth

• Maintaining high growth rates

• Increasing population growth

Which demographic factor is contributing to the slowdown in China's potential growth?

• Rising immigration

• Aging population

• Expanding urbanization

• Increasing birth rates

What challenge does China face as it moves further up the value chain?

• Finding more room to innovate

• Reducing technological imports

• Expanding low-cost manufacturing

• Increasing agricultural output

How has China's debt-to-GDP ratio changed recently?

• It has significantly increased

• It has remained stable

• It has become more shallow

• It has drastically decreased

What is the expected impact of credit growth slowing down to 13% next year?

• It will not be detrimental to growth

• It will lead to a recession

• It will cripple economic growth

• It will have no impact on growth