Professor Qing Wang advises on how to stimulate China's domestic consumption

Professor Qing Wang of WBS met the Vice Premier of China Mr Wang Qishan, along with the Governor of Bank of China Mr Zhou Xiaochuan, at a small-round table meeting and lunch in Oxford on Friday 9th of September. The Chinese Government officials were visiting the UK to discuss the growth of renminbi trading in London.

As an expert in Marketing & Innovation, and Director of the Marketing, Innovation and the Chinese Economy Network (MICE) at Warwick, Professor Wang's contribution to the round-table discussion in Oxford was related to the challenges that China faces in stimulating domestic demand and consumption with more value-added products and services (including investment products).

As a fast-growing emerging economy, China's domestic consumption contributes only about 35% of the country's total GDP, lagging behind some other emerging economies such as India where the figure is around 57%. The expansion of China's domestic demand and consumption is an urgent agenda for the Chinese government especially under the current economic climate. It is essential for sustaining the country's economic growth, reducing its reliance on export, hence allowing the gradual but substantial upward movement of the renminbi against the US dollar.

Further information
A recent Financial Times article on the implications of China's currency appreciation for the world economy, can be viewed here - http://www.ft.com/cms/s/0/16ffc08a-d974-11e0-b52f-00144feabdc0.html#axzz1XdJFnC00
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