Be careful what you wish for. Western officials have long prodded China to change its economic model from one of export-led development towards greater internal consumption. Officials in Beijing are now embarking on precisely such an endeavour, albeit gradually.
Investors had better pay attention: the implications may not necessarily be as welcome as many believe. Rebalancing will inevitably slow profit growth in China, for local and foreign firms alike.
There are few occasions when the policy direction of China’s government can be clearly discerned. The annual National Party Congress is one such rare event.
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