Changing demographics at heart of China decline

“The Party has a chance to redeem itself," says Crosby founder Timothy Beardson, but urgent institutional reforms are needed now if the Chinese economy is to avoid a downward spiral.
Today 100 million Chinese are over the age of 65. By 2030 that number will have tripled.
Today 100 million Chinese are over the age of 65. By 2030 that number will have tripled.

Timothy Beardson, founder and director of Crosby, a Hong Kong-based independent investment bank, warns a lack of urgency in tackling institutional reforms by the new Chinese leadership could send the country into a downward spiral.

“No country with a steep, consistently declining population has maintained a sharply rising rate of economic growth,” he said at a luncheon yesterday in Hong Kong.

The country faces a number of demographic challenges that will complicate efforts to address other problems, such as environmental destruction, a creaky education regime and a dysfunctional financial system. “The leadership needs to address these things now while China has the financial resources to do so,” Beardson says.

He worries...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222