SHANGHAI — Former Australian prime minister Kevin Rudd on April 22 rejected the “China Collapse” theory and expressed optimism for the Chinese economy.
In the next decade, China’s annual economic growth is forecast to be above 6 percent, Rudd said in Shanghai at the launch of his latest research report, “US-China 21: The Future of US-China Relations under Xi Jinping”.
Rudd said China has enough fiscal and monetary policy tools to boost the economy to ensure annual growth above 6 percent.
On the backdrop of economic slowdown, there arises viewpoints of China collapse, he said, adding that he doesn’t agree with the view.
Rudd said China faces issues of an population aging, heavy local government debt and downward economic pressure, but it is taking measures to tackle all the issues, seeking a new growth mode to avoid the middle income trap.
Rudd also dismissed skepticism of China’s economic restructuring.
New growth drivers coupled with the old will ensure the Chinese economy moves on the right track, he said.
Rudd said China is seeking to increase its influence through economic cooperation and with the Belt and Road Initiative and Asian Infrastructure Investment Bank, it could become an important source of investment for relevant countries.
China just wants reform and does not seek to break the world order, he said.