Summary

On our Group call with Trivium China, Andrew Polk and Dinny McMahon believe that China's 5% GDP growth target looks attainable this year as fiscal policy is very supportive. The three-pronged approach to achieve this is: greater infrastructure investment, encouraging people to spend more by developing new forms of tourism, day trips, short-term trips outside of the city, and giving them the resources to spend more through the taxation system, social security and an increase in public sector workers wages. With regards to the property space, Trivium are seeing signs that the housing market is improving, which in turn may have a positive impact on consumer sentiment. Andrew and Dinny then took questions on the risks of bank failures, property company defaults and financial stability in general.

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