Avoid black-and-white views of China and global markets: President Tharman

He says Beijing addressing challenges, which will take some time to overcome

- Elisha Tushara

Business leaders seeking growth can find opportunities even in an increasingly uncertain world, if they spread their eggs and avoid excessive pessimism or overly optimistic views of the global markets, including China.

Speaking on Feb 10 at the Singapore Chinese Chamber of Commerce and Industry's (SCCCI) Chinese New Year celebrations, President Tharman Shanmugaratnam said the international market will be the main source of growth for businesses in Singapore and a source of prosperity for the country.

However, businesses need to avoid looking at the world in black-and-white terms as they navigate a more uncertain and unpredictable climate.

Citing China as an example, Mr Tharman noted there have been bold narratives that focus either on its vulnerabilities or its strengths, but he said they are missing the whole picture - the challenges and strengths can both be true at the same time, and will both likely be true for some time to come.

China, he noted, is facing challenges in its property market, and challenges with excessive debts accumulated by its local governments, and with weak consumer sentiment and an undeveloped pension and social security system.

He said these challenges are being addressed by the government in China, and will take some time to overcome.