#Economy #CCP
#GeorgeSoros: Xi’s crackdown on private enterprise shows he does not understand the market economy
The following is an article written by George Soros, the chair and founder of #SorosFundManagement and the #OpenSocietyFoundations and was published in Financial Times.
//Xi Jinping, China’s leader, has collided with economic reality. His crackdown on private enterprise has been a significant drag on the economy.
The most vulnerable sector is real estate, particularly housing. China has enjoyed an extended property boom over the past two decades, but that is now coming to an end.
Evergrande, the largest real estate company, is over-indebted and in danger of default. This could cause a crash.
The crackdown by the Chinese government is real. Unnoticed by the financial markets, the Chinese government quietly took a stake and a board seat in TikTok owner ByteDance in April. The move gives Beijing one seat on a three-person board of directors and first-hand access to the inner workings of a company that has one of the world’s largest troves of personal data. The market is more aware that the Chinese government is taking influential stakes in Alibaba and its subsidiaries.
Xi does not understand how markets operate. As a consequence, the sell-off was allowed to go too far. It began to hurt China’s objectives in the world. Recognising this, Chinese financial authorities have gone out of their way to reassure foreign investors and markets have responded with a powerful rally. But that is a deception.
Xi regards all Chinese companies as instruments of a one-party state. Investors buying into the rally are facing a rude awakening. That includes not only those investors who are conscious of what they are doing, but also a much larger number of people who have exposure via pension funds and other retirement savings...//
Read the full article:
https://www.ft.com/content/ecf7de34-e595-4814-9cbd-4a5119187330
Source: Financial Times #Aug30
#Crackdown #PropertyMarket #CommunistChina #Birthrate #Tiktok #Alibaba #Evergrande
#GeorgeSoros: Xi’s crackdown on private enterprise shows he does not understand the market economy
The following is an article written by George Soros, the chair and founder of #SorosFundManagement and the #OpenSocietyFoundations and was published in Financial Times.
//Xi Jinping, China’s leader, has collided with economic reality. His crackdown on private enterprise has been a significant drag on the economy.
The most vulnerable sector is real estate, particularly housing. China has enjoyed an extended property boom over the past two decades, but that is now coming to an end.
Evergrande, the largest real estate company, is over-indebted and in danger of default. This could cause a crash.
The crackdown by the Chinese government is real. Unnoticed by the financial markets, the Chinese government quietly took a stake and a board seat in TikTok owner ByteDance in April. The move gives Beijing one seat on a three-person board of directors and first-hand access to the inner workings of a company that has one of the world’s largest troves of personal data. The market is more aware that the Chinese government is taking influential stakes in Alibaba and its subsidiaries.
Xi does not understand how markets operate. As a consequence, the sell-off was allowed to go too far. It began to hurt China’s objectives in the world. Recognising this, Chinese financial authorities have gone out of their way to reassure foreign investors and markets have responded with a powerful rally. But that is a deception.
Xi regards all Chinese companies as instruments of a one-party state. Investors buying into the rally are facing a rude awakening. That includes not only those investors who are conscious of what they are doing, but also a much larger number of people who have exposure via pension funds and other retirement savings...//
Read the full article:
https://www.ft.com/content/ecf7de34-e595-4814-9cbd-4a5119187330
Source: Financial Times #Aug30
#Crackdown #PropertyMarket #CommunistChina #Birthrate #Tiktok #Alibaba #Evergrande
Ft
George Soros: Investors in Xi’s China face a rude awakening
The leader’s crackdown on private enterprise shows he does not understand the market economy
#FailedState #1C1S
#CarrieLam is unable to confirm whether Beijing has issued a new mandate to “Regularize” Real Estate in Hong Kong
Hong Kong's #ChiefExecutive Carrie Lam met the media before attending the Executive Council meeting on the morning of September 21, 2021 and was asked about a Reuters report published the previous Friday, Septrmber 17, 2021, regarding Beijing’s pressure on Hong Kong property developers.
At first, she said that “I cannot confirm nor comment on this since they are all rumors.” She followed by saying that Beijing is very concerned about the livelihood of Hong Kong people. After they have “improved” the election system, they hope to enhance the effectiveness of the SAR’s governance. “After improving its effectiveness, of course they would want to help solve problems for the public.”
She added that the housing issue has been substantially adjusted by the current government, and now the remaining issue is the land issue.
“The current issue is a land problem. It is true that the developers have some privately own land, but when it is necessary, public powers can be exercised to recover some of these lands to develop public housing. Thus, solving a problem that has been bothering the city for a long time.”
#Beijing #RealEstateMandate
#Economy #Finance #PropertyMarket #HongKongMarket #CCPRules
Source: Stand News #Sept21
https://bit.ly/3m0SV2n
#CarrieLam is unable to confirm whether Beijing has issued a new mandate to “Regularize” Real Estate in Hong Kong
Hong Kong's #ChiefExecutive Carrie Lam met the media before attending the Executive Council meeting on the morning of September 21, 2021 and was asked about a Reuters report published the previous Friday, Septrmber 17, 2021, regarding Beijing’s pressure on Hong Kong property developers.
At first, she said that “I cannot confirm nor comment on this since they are all rumors.” She followed by saying that Beijing is very concerned about the livelihood of Hong Kong people. After they have “improved” the election system, they hope to enhance the effectiveness of the SAR’s governance. “After improving its effectiveness, of course they would want to help solve problems for the public.”
She added that the housing issue has been substantially adjusted by the current government, and now the remaining issue is the land issue.
“The current issue is a land problem. It is true that the developers have some privately own land, but when it is necessary, public powers can be exercised to recover some of these lands to develop public housing. Thus, solving a problem that has been bothering the city for a long time.”
#Beijing #RealEstateMandate
#Economy #Finance #PropertyMarket #HongKongMarket #CCPRules
Source: Stand News #Sept21
https://bit.ly/3m0SV2n