By 2030, the International Monetary Fund (IMF) is projecting that China’s economy will have grown from the 2017 level of approximately US$23 trillion to almost US$80 trillion a year – an increase in the size of
By 2030, the International Monetary Fund (IMF) is projecting that China’s economy will have grown from the 2017 level of approximately US$23 trillion to almost US$80 trillion a year – an increase in the size of the Chinese economy of more than US$50 trillion in just 13 years. https://www.nextbigfuture.com/2011/05/forecasts-of-china-and-us-gdp-to-2030.html
This economic growth is going to result in the creation trillions of new dollars being available for business and project financing and investment from Chinese Investment and Financial entities over the next decade, and tens of trillions of dollars that Chinese consumers will be looking to spend on highly desired food and beverage products, consumer goods, travel, entertainment, medical technology and services, and private sector educational services for their children.
Chinas wealth is growing fast and already building up to very high levels.
And China’s Wealth Generation Machine is just getting started.
China already holds more than 10% of the world’s wealth. According to Credit Suisse, China’s middle class (measured by wealth) is already the largest in the world, growing much faster than the United States, and there are already 109 million Chinese with wealth between US$50,000 and US$500,000.
According to the Hurun Global Rich List, by 2018 China had 819 billionaires – compared to just 571 for the United States. In fact, China has more billionaires than all of North America combined (819 to 646 for the United States, Canada, and Mexico).
Credit Suisse projects that by 2020 China will have 2.3 million millionaires.
Much of this wealth being created is going to go into either savings or consumer spending –with both set to increase dramatically in China over the next several decades.
Much of both Chinese consumer spending and savings will ultimately end up in China’s new Private Financial Services Sector available for Loans and Investment.
A large percentage of the resultant Chinese corporate profits from the tens of trillions of dollars of consumer spending that is going to occur is going find its way to China’s Financial Service Sector for Investment and Loans to New Projects and Business.
And some of this new money and wealth being generated in China will find its way into Pension Funds and other Institutional Funds that too will be able to be accessed by China’s Financial Services Sector to Invest in Projects and Businesses.
All of these things are already occurring, and they are accelerating, and very large amounts of Investment and Financing capacities are as a result being created in China’s newly emerging Private Financial Services Sector and Private Equity Fund/Financing Sector.
China’s Private Financial Services Sector is already quickly becoming the Centre of China’s Financial, Financing and Investment System, and if not quite yet the Centre of the World’s Financing and Investment system, it certainly increasingly is becoming its driving force.
All that economic growth in China that has already occurred has caused US$17 Trillion of personal wealth and assets to accumulate among China’s citizens. And very little of that personal wealth has been invested into China’s Stock Market – which only holds a small percentage of China’s wealth and investment dollars (a much different situation than in the United States).
That personal wealth and assets being held by China’s citizens are now being directed towards China’s Private Financial Services Sector by the Government of China. To be loaned and invested by China’s Private Financial Service Sector to China’s high growth, high opportunity business sectors.
The Government of China wants China’s new Private Financial Services and Investment Sector (which really didn’t exist to much of any degree before 2012) to flow that US$17 trillion into the high growth, high opportunity business sectors.
US$17 Trillion of Personal Wealth is there for investment and loans by the China’s Private Financial Services Sector right now.
And much more wealth is constantly being created in China – and it to will become available for further financing and investment through China’s Financial Services Sector.
This process is likely to continue and keep building larger and larger over the next 20-30 years until the amount of Financing and Investment Capacity of China’s Private Financial Services Sector could exceed the rest of the World’s Financial Centres combined.
These new Private Sector Financial Service Sector Companies and Funds are to be the Engine and Driver of China’s Future Economic Growth, China has even enacted a new Law to encourage their establishment and to facilitate their successful operation.
Chinese economic growth is expected to be so great, and its economy will to grow so large over the next several decades that by 2060 the OECD projects that China’s per capita income levels will have experienced a 7 fold increase from 2011 per capita income levels reaching a level of income (GDP Per Capita Income) of approximately US$35,000 per person, and that will be the per person average for the approximately 1.3 billion people that China is expected to have.
In 2017, the US per capita income was US$31,128 per person for a population of approximately 326 million.
Investment and financing is going to flow in the tens trillions of dollars over the next several decades to high growth, high opportunity, business sectors for business in China, and for doing business with China, and be available for business and projects in those sectors that are planned, designed, and operat