Chinese Government Has Room to Raise Debt Ratio, UBS's Hu Says

The video discusses strategies for foreign investors in the Chinese equity market, emphasizing a barbell strategy that balances defensive stocks with growth sectors. It speculates on the potential increase of China's fiscal deficit from 3% to 4% of GDP, which could lead to more central government bond issuances and increased liquidity. The discussion also covers China's debt management, suggesting that the central government has room to raise its debt-to-GDP ratio to support fiscal stimulus, focusing on boosting demand rather than supply.

What is the current debt to GDP ratio of China's central government, and how does it compare to other countries mentioned?

In what ways does the speaker suggest boosting demand in the economy?