Interactive Investor

Reasons why China matters

8th February 2016 14:50

by Lee Wild from interactive investor

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China's decades of stratospheric economic growth put rivals in the shade, and these days sentiment surrounding it can steer global markets - but why, exactly, is it so important? We paint investors a picture of the world's newest economic superpower.

China has become a key feature in the global economic landscape ever since reforms opened the country (and its colossal population) to widening international trade and commerce.

Its unprecedented streak of double-digit growth suggested it was on track to oust the US as the planet's dominant economy, but as slowing growth casts that into doubt, investors and market-watchers worldwide are starting to look more closely at the numbers.

One major figure is the still-impressive 6.9% growth in China's gross domestic product during 2015, far outstripping the US at 2.4% and the UK's 2.2%.

The sheer size of the numbers generated by the Chinese is staggering. It's why we've brought together some of the most impressive into a handy infographic, which we think illustrates why China still matters.

Click on the image below to see a larger version of our graphic:

This article is for information and discussion purposes only and does not form a recommendation to invest or otherwise. The value of an investment may fall. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.

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