China creating ecosystem that is ‘favourable for investors’

China is taking a long-term view over its economic development by investing both in technology and human capital, which is evident in the way new industries have evolved, according to Gim Huay Neo, managing director of the World Economic Forum (WEF).

Speaking ahead of the 2025 Summer Davos Forum in North China’s Tianjin municipality, Neo said the ‘ingredients’ in terms of policy coherence and consistency, availability of human capital, technology readiness and broader market support, are “pretty strong”, whether in green energy sectors or industrial transformation and advanced manufacturing.

“I think these various elements create an ecosystem that is favourable for investors as well as business partnerships,” she explained.

Neo also stated that the Chinese economy has been more resilient during a time of global economic uncertainty. She said Asia is expected to contribute about 60% of global GDP growth this year, with China to contribute around 30%. “So the outlook for Asia and China is still pretty strong,” she said.

Concerning rising global trade tensions, Neo said the WEF has a working group focused on trade and investment, seeking to bring businesses together with governments, academia and international organizations for constructive dialogue and forge win-win partnerships.

“I emphasize ‘win-win’ because we need to look for opportunities and collaboration areas where there can be benefits for everyone,” Neo said.

Neo said the WEF has a long-standing friendship with China, and that the forum hopes to continue working with the Chinese government, Chinese businesses and Chinese people to bridge conversations between China, Asia and the rest of the world.

“There is a lot of interest in Asia and China, and we hope to continue to be able to create the platform for constructive dialogue, for the exchange of ideas and perspectives, and to be able to catalyse new partnerships and bring about solutions to global challenges,” she said.

This year’s Summer Davos Forum, also known as the 16th Annual Meeting of New Champions of the World Economic Forum, was themed ‘Entrepreneurship in the New Era’ and focused on five key areas: deciphering the world economy; outlook on China; industries disrupted; investing in people and the planet; and new energy and materials.

China set to boost trade with central Asian partners

China and Central Asian countries have room to deepen economic and trade ties by expanding collaboration in fields such as digital trade and green development, while working to strengthen supply chain integration and regional connectivity in the next stage, industry experts have said.

China and the countries of Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan have been deepening economic and trade collaboration, forging dynamic and beneficial partnerships in fields such as agriculture, energy, infrastructure and natural resources, China’s Ministry of Commerce said.

With China and Central Asian countries accelerating the implementation of the United Nations 2030 Agenda for Sustainable Development and reinforcing ties in areas of common interest, such as production capacity, transport and finance, experts said these moves will expand their economic collaboration from trade and investment activities mainly engaged in the energy, natural resources, infrastructure and agriculture sectors to more fields.

Wan Zhe, a professor specialising in regional economic development at Beijing Normal University, said that digital trade, as a core element of the digital economy, can effectively connect trade chains’ information channels, reducing transaction costs between countries.

Wang Jinguo, a professor at the Institute for Central Asian Studies of Lanzhou University in Gansu province, said collaboration among all parties in digital trade, sustainable growth and trade in services will lay the foundation for mutually beneficial collaboration, fostering an environment of broad consultation, collective contribution and shared benefits in the partnership between China and Central Asia.

“With Central Asian countries supporting green transition and having soaring demand for electricity, the region is in urgent need of substantial external funding and technology support,” Wang said. “China is well positioned to provide such help. It is likely that as we work together, investment between China and Central Asia will continue to grow.”

China’s direct investment stock in the five Central Asian countries exceeded $17 billion by early December, covering a range of sectors such as infrastructure, logistics, manufacturing, new energy, oil and gas exploration and telecommunications, the Ministry of Commerce said.

China’s trade with the five Central Asian countries surged from 312.04 billion yuan ($43.48 billion) in 2013 to 674.15 billion yuan in 2024, representing an increase of 116%, according figures from the General Administration of Customs.