The latest HSBC Emerging Markets Sentiment Survey for March reveals a striking surge in investor confidence in the Chinese mainland.
According to the survey, 45% of investors now view the Chinese mainland's recovery as the major engine driving emerging market growth, a marked increase from 29% in December. The survey, conducted between January 24 and March 12, polled 126 investors from 125 institutions managing a total of $439 billion in assets.
Murat Ulgen, HSBC's global head of emerging markets research, emphasized, "Investors are upbeat on the Chinese mainland's growth prospects." Recent policy measures introduced by Chinese officials to stimulate economic activity have clearly resonated with market participants.
The Chinese mainland has pivoted its growth model to focus on domestic demand. Initiatives include doubling the issuance of ultra-long special treasury bonds to back a consumer goods trade-in program, along with a comprehensive 30-point policy package aimed at boosting income growth, reducing financial burdens, and increasing consumer spending.
Notably, the Chinese mainland's retail sales of consumer goods exceeded 8.37 trillion yuan (approximately $1.17 trillion) in the first two months of 2025, marking a 4% year-on-year increase. Moreover, a quarter of survey respondents believe that the Chinese mainland is set to register the strongest growth acceleration in emerging markets over the next 12 months. 🚀✨
Reference(s):
cgtn.com
