By Shane Oliver, Head of Investment Strategy & Chief Economist from Oliver’s Insights, AMP Capital, Edition 6 2014
Key points
- Chinese debt levels are rising too fast and the growth of its shadow banking sector poses risks. However, providing the authorities continue to gradually try and slow both down the risks should be manageable.
- Chinese growth looks like coming in around 7.5% this year. No boom, but no bust either.
- Chinese shares remain very cheap, providing the prospect of good medium term returns.