Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
A referendum on the status of Crimea was held on March 16, an overwhelming majority of Crimean residents (about 97%) voted to separate from Ukraine and apply to join Russian Federation. ANBOUND's chief researcher Chen Gong believes that the Crimean referendum will benefit Russia and bring harm to the US and Europe in the short run. However, Russia will not be a beneficiary in the long run. The country that really benefited from the Ukraine crisis would be China as it does not have any direct geopolitical interest.
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
China's central bank has put a stop to virtual credit card and 2-dimensional bar code payment service. ANBOUND’s chief researcher Chen Gong points out this move indicates the regulator will probably intervene to address the issue of unstandardized internet finance: it is perceived to be the most effective short-term policy to restrain the rapid development of internet finance without knowing the business direction and not being able to stop or hinders financial innovation
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
China's financial stability affects global economy however it is not always reassuring, for instance "money shortage" that occurred not long ago is a good example. ANBOUND’s chief researcher Chen Gong stated that China’s liquidity is indeed changing and the change of interest rate proves the existence of the problem. China’s financial market is different from other countries as it is still at the development stage, thus trust, bond and fund products quickly form into particular market sca
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
Given the rising cost and deteriorated environment for domestic manufacturing development, China's products encountered dilemma in terms of price range. ANBOUND chief researcher Chen Gong suggests that Chinese products are sandwiched in between the pricing system advantage of European, American and Japanese and labor cost advantage in manufacturing-oriented emerging countries. If this trend persists, China’s manufacturing sector will lose a lot of markets, and face difficult competition in the international market
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
It is obvious that RMB appreciates against dollar but depreciates domestically. It is mainly due to the distortion of RMB exchange rate. Actually, there should not be only one price, thus it indicates that there is human intervention in the market. Meanwhile, another reason is due the large gap between RMB purchasing power and commodity price statistics, especially when the statistics of price level failed to reflect the actual situation, thus the currency did not depreciate when it should.
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
China's fundamental farmland is under protection and there is a saying of "1.8 billion Mu red line". However, recently there suddenly emerges a new interpretation over the precarious “1.8 billion Mu red line” policy, saying “the statistics of the land departments were wrong and there is “no such problem” as land use in China. ANBOUND researchers think that China’s data are always like an ocean of myths, and the highly opaque statistics system has made the real implications of those data difficult to be understood and trusted by outs
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
The global market is affected by Fed's QE withdrawal especially emerging markets are badly affected, however Renminbi's performance is particularly thriving. ANBOUND’s chief researcher Chen Gong highlighted that the emerging markets highly rely on investment. It is rather worrisome in the future as the global economies are highly dependent on America, but which is the opportunity for Chinese economy. Nevertheless, the current warnings on QE withdrawal have been exaggerated to a certain degree as the impact is not that great
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
Although the ratio of government debt to GDP is not too high,the overall scale of China's government debts is rather huge. ANBOUND’s chief researcher Chen Gong thinks that debt issues that purely caused by vanity projects require criticism and introspection. Those debts are usually vicious debts that involved investment without much capital value. In addition, government waste is causing another form of debt. These two factors are causing real debts and are risk exposures that need to be solved by financial institutions
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
ANBOUND's chief researcher Chen Gong warns that China's economy is entering a mature stage and it can no longer maintain a double digit growth in the long run. Over the next three decades, China’s economic growth will be gradually decline to 7%, 6% and 5% respectively during every decade. Chen Gong believes that it is extremely difficult for China to achieve previous high growth rates in the future, the economic forecast by some of the Chinese economists are over optimistic
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
It is said that CSRC intends to verify 51 IPO companies, meaning all of the IPO companies in China will be involved in the verification process. If the information is true, then CSRC will once again return to the intervention of listing process via executive power. ANBOUND's Chief Researcher Chen Gong pointed out that the key problem is to push the stock market index higher in order to achieve normal stock market investment value. The key solution to the problem is to open the secondary stock market to the foreign capital.
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
The professionalism of Chinese internal experts has always been questionable;the latest example is the dramatic modifications of haze data. According to the Chinese experts, the previous data is unfavorable toward vehicles usage because it contains more than 30% of pollution that generated by vehicles usage. However, the revised data showed that pollution caused by vehicles has been modified to around 4%. The new data causes great confusion and doubts because China's big cities such as Beijing, Shanghai, Nanjing, Tianjin and Guangzhou have implemented restrictive measures on vehicle purchase according to the previous released data.
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
Recently, there is an emergence of one-side emphasis on "mixed ownership" pertaining to SOEs reform. However, SOE reform has to be an innovation and breakthrough being able to solve most of the problems, rather than a simple approach such as financing the SOEs by introducing private capitals to them. ANBOUND's chief researcher Chen Gong believes that the concept of mixed ownership is not an execution issue; SOE reform should be a feasible reform that transforms SOEs into a tool that generates wealth to all the people.
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
To some extent, there is no safe or proper management once nuclear power accidents took place. ANBOUND's chief researcher Chen Gong thinks that every country’s perspective towards nuclear power is less important compared to solving the problems that arise after nuclear accidents. So far, there are no dependable, safe and proper solutions. This is the biggest risk. Looking at the tremendous risks that might be faced by China’s nuclear power development, the country should also consider other alternatives such as energy saving, nuclear energy, wind power, shale gas and other clean energie
Chen Gong
Chief Researcher, Anbound Think Tank
ANBOUND
China's demand for minerals has changed the world. Australia, Brazil and Chile have been highly influenced by China’s mineral demand. Besides that, the society and environment also have to pay a high cost on it. However, it has very limited impact towards China itself. ANBOUND chief researcher Chen Gong believes that China needs to solve the following three problems namely how to follow up and evaluate the changes? How to utilize its influence? How to build wealth for both the world and the Chinese people? The right answers to these problems will certainly bring profound changes to China
