China'S Economy Is On Its Way To The New Normal.

The current situation of China's economy may be moving towards the new normal, but the old normal state is still entangled. As far as China's economy is concerned, the new is new, but it is not necessarily true when it comes to normality.

At least since the end of last year, from the public to the official, from grassroots to experts, people from different levels are announcing that the Chinese economy has entered a new normal. This year has passed for three months. Now we turn around and look at it. It is easy to see that we are just on the way to the new economic normal.

Although this year has only passed three months, I think we can imagine now that by the end of the year, we can sum up the changes in China's economy this year. Persuasiveness . from international China's leading Asian investment bank is now booming. " The Belt and Road Initiative Obviously, the plan is getting better. At the same time, the International Monetary Fund (IMF) is trying to make the renminbi a reserve currency. From the domestic perspective, the deposit insurance system, which has been brewing for many years, came out at last. The capital market was unprecedentedly opened. After the Shanghai and Hong Kong Connection last year, the launch of Shenzhen Hong Kong Tong seems to be very close, and the IPO registration system seems to be waiting for the first time. Which of these is not a new word?

The current situation is that China's economy will also fight against downward pressure, and steady growth. The newly released HSBC China Manufacturing Purchasing Managers Index (PMI) recorded a 49.2 initial value in March, which fell below the 50 credit line and hit a 11 month low. This once again raises concerns about whether the economy will get warmer. In particular, when the experts expressed their concern about the deflation pressure of China's economy, the central bank always insisted that "prudent monetary policy" should not be relaxed. Only recently, Zhou Xiaochuan, governor of the central bank, said in a speech that the current inflation rate is declining, and that the price of commodities is falling and China's economic growth has also slowed down. Therefore, the Central Bank of China is paying close attention to the inflation situation and deflation risk. Zhou Xiaochuan's remarks make it easy to imagine that the stable monetary policy that the central bank has always adhered to is not going to have a substantial change to meet the needs of China's steady economic growth. Is he launching a more liberal monetary policy?

What is the downward pressure on China's economic development now? Zhou Xiaochuan's words can be a corroboration. It is another evidence that the government has introduced the policy of favorable real estate market frequently. What I want to say is that as long as the downward pressure of the Chinese economy has not been resolved relatively successfully, no matter how much new ideas appear in other aspects, it can not be called normal.