China risks slower growth without more market competition - U.S. study
China risks slower growth if it does not do enough to spur market competition by allowing the private sector to play a bigger role in the economy and greater two-way flow in cross-border investments, a report showed on Tuesday.
“Without a market-oriented shift, China will struggle to maintain a growth potential that exceeds 3% annually by the middle of this decade,” according to a report released by U.S. think tank the Atlantic Council and consultancy Rhodium Group.
China’s economic growth has gradually eased from 2011 to 2020, expanding in the single-digits compared with the relatively big gains in the years just after it joined the World Trade Organization in late 2001. China has set a target to grow its economy by at least 6% in 2021 after it managed to eke out growth of 2.3% in pandemic-hit 2020.
Reference: Reuters
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