Chinese services key to long term prosperity, says Matthews Asia
The services sector is set to grow in China through its current five year plan, as part of a rebalancing of the economy, notes Matthews Asia analyst Sherry Zhang.
The current plan is to raise services as a proportion of GDP to 47% by 2015, from 43% in 2011.
The shift is intended to not only create more jobs – some 35% of Chinese employed are in services currently against an average of 60% in developed markets – but also to speed up wage growth that can stimulate domestic consumption, and finally to facilitate a more energy efficient economy, as services use proportionately much less energy than industrial and manufacturing industries.
Click here to read the research: [asset_library_tag 6811,Asia Insight – China service revolution]