China’s economy

China is a land of opportunities. Over 1.3 billion people contribute in the population of China. The estimated representation of China’s population is approximately 20% of the whole world population and it means that one out of every five person in the world is Chinese. The growth in economy is around 10% yearly and we can say that today it’s the second largest economy after America.

Chinese economy is growing gradually and a few biggest companies in the world are now belonging to china. In 2008, among three of top ten companies originate from china, such as the biggest telecommunication company, second largest energy corporation and biggest Bank. It is quite astonishing that these companies have achieved such a huge size but it’s also interesting that this is not through market growth. They achieved that much size by privatization. China stock market is representing huge and big sized companies and the most public investments are geared to the typical investors.

The commercial and industrial bank comprises of a huge volume and three of five top banks in the world are Chinese. It is again interesting that china is communist; having one party system provided such an open and transparent economy system to expand. The most developed countries financial system have major issues currently and their growth is limited to some extant and on the other hand the ground realities show a honest and less corrupted system governing the banking issues in china. The misleading of public investors is not so evident in the banking sector. The worth of china’s stock market has a worth of $637 billion as compared to the US $15.7Trillion.The stock market of china worth as compared to Microsoft is twice.

Investing in china is getting a lot of attention in market sector. The whole world’s exporters and importers are looking towards the great deals from china. China‘s specific investment is considered in a broader diversified manner by choosing ownership of Chinese equities preferably through stock markets.However, exposure of trends about the economy may have certain special rules to follow.           

 By Umar Saleh.(315/10)


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