Key economic indices in recent months have shown that China's economy is gradually stabilizing, Jing Ulrich, chairman of China equities at JP Morgan, said Thursday.
China's stock market has rebounded 25 percent since the last trading day of 2008, indicating that the equities market may recover ahead of the economy, said Ulrich.
Key economic indexes, including investment, bank loans, property trading and consumer spending, have all seen rises in the past few months, indicating that China's active monetary and fiscal policy is taking effect.
In the first two months of 2009, new bank loans reached 2.7 trillion yuan, giving a major boost to enterprises, the stock market and the property market, he said.
But it is still too early to say China's economy is on the road to all round recovery.
Ulrich expects China to put forward additional stimulus packages, which he predicts will focus on improving social security, beefing up domestic consumption, and adjusting its economic structure, which currently depends too heavily on investment and exports.
"China should seize the opportunity brought by the global economic crisis to change its growth mode. That will enable the economy to achieve faster development when the global economy recovers," Ulrich said.
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(China.org.cn March 20, 2009)
