China's new and reformed economy

CHINA

Economic reforms are allowing investors to realise the true potential of ‘new China', says Jian Shi Cortesi, manager of the JB China Evolution fund.

After years of outstanding Chinese economic performance, fears of a widespread growth slowdown burdened investors last year. China’s investment-driven economic growth model is unsustainable, but the world’s second largest economy is evolving as it moves away from an over-reliance on investment, towards increased consumption. The new reform packages, presented at China’s third plenum meeting at the end of 2013, included 60 initiatives which will be implemented over the next ten years. The plans include the crucial reform of China’s welfare system, relaxing the Hukou system which forces mi...