The Chinese economy will remain robust after the 2008 Beijing Olympics as has happened in some
other host nations, said renowned economist Li Yining.
China is only halfway to full industrialization and the thirst
for investment will not subside when the Beijing Olympics closes,
said Li at the ninth New Year Forum held in Beijing University.
Huge amounts of investment is required to rejuvenate the old
industrial base in northeast China and the country's underdeveloped
west, said the economist, adding that hi-tech industries are also a
new hot area that will attract new investment.
New energy resources, bio-technology, new materials and new
generations of electronic products will draw huge sum of money,
said Li.
Strong investment after the Beijing Olympics will keep the
Chinese economy growing fast, said the economist.
Li says the challenges facing the economy include slow growth of
farmers' income, shortages of resources and environmental
deterioration.
These problems can be solved, said Li, calling for more private
businesses to be established to break up monopolies and system
reform of science and technology development. He also advocates the
development of a recycling and tighter supervision over the
environment.
As the largest sporting event in the world, the Olympics are
expected to bring huge business opportunities to the host nation
but some analysts are worried the Chinese economy may slump when
this apparent driving force expires. Some people have even delayed
buying homes as they expect the housing prices to drop after
2008.
(Xinhua News Agency January 7, 2007)