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In January, the World Economic Forum returned to Davos, where Chinese Vice Premier Liu He delivered an address to reassure investors that China’s economy will get back to normal this year. Meanwhile, global business leaders and government officials joined the debate session and CEO luncheon that Caixin hosted in the Swiss town, sharing insights on topics ranging from China’s opening-up in the post-pandemic era to green investment and the global tech landscape.
As China resumed regular cross-border travel, airlines struggled to satisfy surging demand for outbound travel. Meanwhile, around two dozen countries have imposed entry restrictions on travelers from China out of Covid concerns.
At home, China’s more than two-year clampdown on misconduct in the sprawling fintech sector is coming to an end as policymakers said that further supervision will be normalized. This came as Jack Ma decided to surrender control of Ant Group. The fintech giant still has several items left on its restructuring to-do list.
# Davos 2023 #
Gallery: Big Names Join Caixin in Davos
Liu He Says China’s Economy Will Get Back to Normal in 2023
China’s economy is set to improve and is highly likely to reach a normal growth rate in 2023, Vice Premier Liu He said at the World Economic Forum (WEF) in Davos, Switzerland.
The country’s imports are expected to increase significantly this year, Liu said in a special address at the annual meeting, adding that corporate investment will rise and household consumption will return to normal.
‘China’s Door to the Outside Will Only Open Wider,’ Vice Premier Liu He Says
China’s top economic official reassured global political and business leaders at the World Economic Forum (WEF) that the country is committed to further opening-up and to embracing global cooperation.
China’s national reality dictates that opening up to the world is a must, not an expediency, Vice Premier Liu He said in a special address at the annual meeting in the Swiss alpine resort of Davos. The WEF brings together more than 2,700 delegates from around the world.
Liu He’s Davos Speech Explained
Investors have been keeping their eyes peeled for clues about China’s policy direction as the country emerges from three years of strict Covid controls.
The world’s second-largest economy is under huge pressure from pandemic disruptions, a property crisis that could threaten the stability of its financial system, and a regulatory crackdown on the country’s sprawling tech sector. Whether and how China can get its economy back on track is crucial to the world’s post-pandemic economic recovery.
Collaboration on Pandemics, Climate Change Will Bring China and U.S. Closer, Summers Says
Former U.S. Treasury Secretary Lawrence Summers said China and the U.S. can build stronger bilateral relations by working together to solve global issues such as fighting the pandemic and climate change. His remarks were made during a CEO luncheon hosted by Caixin at the annual World Economic Forum (WEF) meeting.
Speaking at the event themed “Unleashing the Full Potential of Asia,” Summers forecast that China’s economy will “come back very hard” in the short run as the country is likely to achieve herd immunity against Covid-19 by March.
Related
China’s Emergence From ‘Zero Covid’ May Spur Global Growth
China-U.S. Ties Are More Robust Than People Think, Bloomberg Chief Says
# Ant Group #
In Depth: The Questions Hanging Over Ant Group
The clouds hanging over Ant Group Co. Ltd. are finally parting.
Following the startling suspension of its would-be record-setting $34.5 billion IPO in November 2020, the fintech company was plunged into an extensive restructuring that has been ongoing for the past two years as regulators clamp down on misconduct in the industry.
Cover Story: Where to Now for Alibaba in the Post-Jack Ma Era?
Chinese billionaire Jack Ma, who has rarely been seen in public since irking the government with harsh comments about regulators in 2020, made headlines recently by giving up controlling rights in the company he founded, Ant Group Co., operator of the most popular digital wallet in the world.
Then, as if on cue, the government just days later announced it was bringing to an end the more than two-year crackdown on the sprawling internet sector, which had scuttled Ant’s massive $37 billion IPO in November 2020 and led to the delisting of ride-hailing giant Didi Global from New York five months after its debut.
China Wraps Up Two-Year Tech Crackdown, Top Official Says
China’s more than two-year clampdown on its sprawling internet sector is coming to an end, according to a top central bank official.
The special campaign to rectify 14 internet platform companies’ financial businesses is basically complete with few remaining issues to resolve, said Guo Shuqing, Communist Party secretary of the People’s Bank of China (PBOC).
Related
Chinese Billionaire Jack Ma to Cede Control of Ant Group
Ant Group’s Lending Unit Gets Approval for $1.5 Billion Capital Boost
# Outbound Travel #
Cover Story: China’s International Air Travel Resumes, But Covid Turbulence to Delay Takeoff
China is reopening its borders that have been largely shut for the last three years,scrapping quarantine requirements for inbound travelers and removing restrictions on international flights. But how quickly will cross-border travel return to pre-Covid levels? The answer: It’s complicated.
In a – very – optimistic scenario, international flights to and from China will return to frequencies not seen since 2019 by this northern hemisphere summer at the earliest, several civil aviation experts told Caixin.
Caixin Explains: Why Countries Are Putting Curbs on Travelers From China
At least 21 countries have announced entry restrictions on travelers from China, after the country resumed regular cross-border travel following a major reversal of its “zero-Covid” policy, according to public information compiled by Caixin.
Prior to the pandemic, Chinese travelers made 155 million outbound trips in 2019 and were a substantial source of tourism revenue around the world, government data showed. But the country’s unprecedented wave of Covid infections, since ending lockdowns, has spooked authorities elsewhere, with countries such as the U.S., Japan, South Korea and Morocco putting additional curbs on travelers from China.
Airlines Overwhelmed by Travel Boom After China Ditches Quarantine
Airlines are struggling to keep up with surging demand for international travel after the Chinese government reopened the country’s borders and abolished the quarantine requirement for inbound travelers.
The number of flights to and from the Chinese mainland rose to 273 from 205 when quarantine requirements were lifted, and up from 165 on Jan. 1, according to data from Variflight, an aviation information provider.
Related
China to End Quarantine for Travelers From Hong Kong to the Mainland
China to End Quarantine for Crews on International Flights
# Weekend Long Read #
What Jack Ma Taught Me in 1999
I received an email from Joseph Tsai in the fall of 1999.
I had been introduced to Joe a couple of years earlier at a holiday party organized by a mentor in Hong Kong, and that chance meeting had left a memorable impression. Joe had attended Yale College and Yale Law School, worked at a large law firm, and then joined the Hong Kong office of Investor AB, a prominent Swedish investment firm. He exuded a quiet confidence.
