The 'Double Dip' Terror?

Fears over a "double dip" recession of the world economy have become more abundant recently,but the scare is not unfounded-certain economic risks may be inevitable.But what are these risks? And where is the world economy heading in the second half of this year? The latest Standard Chartered Global Focus,a monthly analysis of economic and financial market developments by Standard Chartered Bank,provided answers to these questions.     

CRISIS FOCUS Fundamentals,Confidence and Policy

Entering the third year of the most serious economic crisis since the Great Depression, the world economy is still bogged down on the muddy road to recovery. The latest edition of Standard Chartered Bank’s monthly report, Global Focus,     

Fundamentals,Confidence and Policy

Entering the third year of the most serious economic crisis since the Great Deprerssion,the world economy is still bogged down on the muddy road to recovery.The latest edition of Standard Chartered Bank's monthly report,Global Focus,published on February 2,offered some analysis on the outlook of the global economy this year.     

MODEST PROSPECTS

Without a doubt,the Chinese economy has sailed safely through the global economic downturn,while the developed world struggles to restart its growth engine.China's economic momentum remained strong in the first half of this year,though the growth rate is heading south in the second quarter.So what risks lie ahead? How is the country's economic rebalancing progressing?     

Global Aftershock

The catastrophic earthquake and ensuing tsunami in Japan have raised concerns about the economic backlash not only to Japan,but also to the world.Standard Chartered Bank’s report Japan:Assessing the Impact warned that Japan’s economy faces the short-term risk of stagnation and suggested the possible impact the rest of the world could face.Edited excerpt follows     

Playing Defense

With the U.S. financial system still reeling and recession looming on Europe's doorstep, the world is looking to China as a calm port in the storm. But China has its own set of woes as clouds gather over its economy as a result of the domino effect from the overseas economic downturn and lingering inflationary fears. On October 26, Zhou Xiaochuan, Governor of the People's Bank of China, delivered a report on the country's current economic situation and the safeguards that the government has put in place to fend off economic risks. Excerpts follow.     

Views on the ‘Four Comprehensives’

<正>The"Four Comprehensives"may constitute the main pillars for the next phase of the Chinese social and economic transformation.The general direction of these principles is,however,not new.It has been widely recognized that China needs ongoing reforms for more sustainable and socially inclusive growth.Otherwise,imbalances will increase,posing higher risks to the Chinese and world economy.Being principles,they are rather vague and leave much room for interpretation and adjustment.Concrete targets on the social and economic transformation have not been set.The need for reforms is urgent in many areas,and it is a challenging task to keep the balance.Development priorities Future GDP growth should become more sustainable and should not harm the environment.Eco-friendly growth can be supported if the service sector accounts for a higher share of the economy.The service sector is also less productive on average,implying that high employment can be realized even at     

CRISIS FOCUS Global Recovery:East and West

Although the global financial crisis broke out more than two years ago, the fate of the world economy remains uncertain. The recently released Standard Chartered Global Focus:     

Catching Up Peacefully

The most fundamental change in the world economy over the past 40 years has been China, which is effectively catching up in a smart, normal, peaceful and rule-based way, said Jeffrey Sachs, Director of the Center for Sustainable Development at Columbia University and senior United Nations advisor, during a keynote speech at an event co-hosted by the China General Chamber of Commerce-USA and the Standard Chartered Bank in New York City on May 2.     

Development Crucial To Global Well-being

Although the world economy is showing signs of recovery, many developing countries are still dealing with economic difficulties brought on by the financial crisis. As a result, global poverty reduc-tion is facing major challenges, and promoting the development of these countries has become a pressing issue, wrote Yang Jiemian, President of the Shanghai Institutes for International Studies, in a recent article in People's Daily.     

STANDARD CHARTERED’S CHINA DREAM

The British lender is well prepared to operate and compete in the fastest-growing economy Better late than never. About 150 years after establishing a Shanghai branch in 1858, the British lender Standard Chartered is finally incor- porated locally in China. The new entity, registered as Standard Chartered Bank (China) Ltd., is headquartered in Shanghai.     

Domestic Demand Needs a Stronger Boost

<正>The Chinese economy has met an annual growth target of around 7 percent set by the Central Government for 2015 in the past few months,with new driving forces being formed.To address the current economic risks and challenges,China must accelerate reform and opening up.In the process,there needs to be a balance between maintaining stable economic growth,advancing reforms and control ing risks.When the economy is facing increasing downward pressure,macro controls should focus on boosting demand,especially consumer spending.This is not only a prerequisite to ensure sound and sustainable economic growth but is a feasible option for current macroeconomic policy.     

Relax,China Has the Economy Under Control

正Entering 2016,the global economy is confronted with a number of risks.This has resulted in projections made by different economic institutions being at odds with each other.     

Chinese Economy under the New Normal Situation

IN 2014,the term"new normal"entered discourse both domestically and globally.It became a popular way to sum up the current features of the Chinese economy and China’s initiation and gradual deepening of a new round of comprehensive reform against the backdrop of sluggish world economic recovery.Under the new normal situation,China is still confident,and feels capable of steering the world economy on a course of steady progress.     

Seeking Internal Growth

正In an era of globalization,Asia is not immune to the challenges facing the world economy.The still-gloomy global economy casts a shadow on the sustainability of the Asian economy. How Asia should maintain sustainable development amid global economic uncertainties became a focus of this year's Boao Forum for Asia(BFA) held in south China's     

Time to Tolk of Slowdown

THE recent publication of America＇s second quarter GDP data, following that for China, makes it possible to accurately compare the recent performance of the world＇s two largest economies and the results are extremely striking. In the last year the slowdown in the U.S. economy has been far more serious than in China. Therefore while both economies are being adversely affected by current negative trends in the world economy, China is dealing with these much more successfully than the U.S. In light of media discussion about China＇s economic ＂slowdown＂ it is equally important that attention is paid to understanding why the U.S.＇s own economic slowdown is much worse than China＇s when confronted with similar global economic trends.     

Reforms Kick-Start Growth

正Officials and economists confirm confidence in Q1 economic performance Last year,the Chinese economy recorded its slowest annual growth rate in a quarter of century at 6.9 percent.Although official statistics have not yet been released,the market,however,is optimistic about the economic status of the world’s second largest economy in the first quarter of 2016.     

Tending to Internal Pressure

<正>As China integrates into the world economy,its economic sustainability and industrial health become more vulnerable to external factors.While China’s grain security comes under intense pressure,thefinancialsectoris confrontedwithloomingrisks.Thecountry’s manufacturingindustryleads the world,but its competitiveness is impeded by a lack of high-end production.Many economists and experts discussed these issues at the 2011 China Economic Security Forum,recently held by the University of International Business and Economics in Beijing.Edited excerpts follow:     

An Altered Pattern of Economic Growth

CHINA'S economic boom has been a focus of world attention For more than a decade. Its GDP having increased almost 13-Fold in the past 15 years, economy and development are two of the most Frequently heard buzzwords in the Chinese media. China is also holding its own within the global economy. and in 2004 was the number one contributor to global trade growth. Products "Made in China" are to be seen in every country in the world, as are Chinese investors. The rapidly growing Chinese economy has indisputably brought with it improvements to living standards, but has also engendered social problems. At the Fourth Session of the Tenth National People's Congress. Chinese Premier Wen Jiabao listed in his 2006 government work report the problems that have emerged in the past five years of economic and social development. They are: an irrational economic structure; lack of motivation to innovate: excessive consumption of energy resources; alarmingly high environmental pollution; uneven regional development and a widening income gap; and sluggish promotion of social welfare. In order to solve these problems, the Chinese government has proposed a new pattern of economic growth whose emphasis is on social development and conserving energy and resources. Within this new development mode, economic growth will depend less on resource consumption and more on technological and human resources. In the past, the government sacrificed rural interests in order to boost industrial development in urban areas. Its current plan is to invest in and channel funds towards stimulating the rural economy, and also to make various public services available throughout China's vast countryside.     

CRISIS FOCUS Looking to China

The global financial crisis, which has plagued the world economy for two years, is nowhere near an end. Though a double-dip recession is unlikely, a fast and sound economic recovery is still out of reach.