International experience has shown that fiscal policy can play a leading role in promoting a shift toward a more inclusive economic model, balanced income distribution, and improved living standards.
Last Friday, 7 March, 2014, Shanghai Chaori Solar Energy Science and Technology Co Ltd defaulted on its 1 billion yuan ’Chaori-11 bond‘ when it failed to pay in full the coupon due that day. The default should not have taken investors by surprise as the company has been struggling over the past few years due to general weakness in the solar panel market.
The offshore renminbi bond market has boomed since the People’s Republic of China (PRC) authorities first allowed domestic banks to issue them in Hong Kong, China in June 2007. But appetite for the paper—popularly known as “dim sum bonds”—is starting to wane as access to onshore markets becomes easier. To stay relevant, the dim sum market must develop further.
Hunan, a major manufacturing hub in the PRC, recently launched a low-carbon technology incubator to offset environmental degradation and rising greenhouse emissions, and wants to become a model for developing Asia, where the business case for cleantech is emerging.
The Chinese economy is slowing down, and this is likely going to have a noticeable effect on the world economy and especially globally integrated economies in developing Asia. An analysis by ADB Chief Economist Shang-Jin Wei.
The PRC has achieved remarkable economic growth, but serious imbalances between regions and areas remain. The government is aiming to bridge these gaps by developing inclusive finance tools.
The announcement that the People's Republic of China will set up a national emissions trading market in 2017 is a game-changer that could prompt similar moves elsewhere.
Now is the time for the PRC to make carbon capture storage the cornerstone of its policy to deliver on the government’s UNFCCC pledge of peaking emissions by 2030.
The PRC wants to scale up on PPPs that deliver value-for-money, and stand the test of time.