Announcements
Center for Markets in Transition
Published Jun 4. 2010
CEMAT China's economic prospects 1/2010: The world's biggest exporter China attracts more new Finnish companies
According to the report on China’s economic prospects 1/2010, just published by the Center for Markets in Transition (CEMAT), the Chinese economy grows fast again thanks to the massive stimulation package and inward foreign direct investments that have remained at a high level. The report has been published in the Finnish-language web-service www.hse.fi/talousnakymat. The report ‘Kiinan talousnäkymät 1/2010’ is freely available at (link to the report here).
According to the report, China’s foreign trade has almost reached the pre-crisis level. Economic growth has however led to rising inflation and a bubble especially in the real estate market of major coastal cities. Industry expectations are positive, but the structural problems of the Chinese economy, such as the excessive role of the export-led manufacturing sector and the massive overcapacity of many industries, may threaten economic growth in the long run. The stimulation package has been directed to projects in the infrastructure and construction industries, hence benefitting also Finnish firms. Many companies from Finland have regarded China as the ‘only bright spot’ in the midst of the global slowdown, seeing China as the most important market also in the future.
The Economic prospects website was created to serve the needs of the business community and it is provided by the Center for Markets in Transition (CEMAT) at the Aalto University School of Economics. The reports on the economic prospects of Estonia, Latvia, Lithuania and Russia in 2010 were published earlier this year on this website. The next economic prospects reports will be published in autumn 2010.
The website provides up-to-date reviews of the economic development of Russia, the Baltic States and China from the perspective of Finnish enterprises. The reports combine macroeconomic forecasts with enterprise-level data, including business barometers and company interviews made by CEMAT researchers.
Information:
CEMAT, Director, Professor Riitta Kosonen, forename.surname@hse.fi