Jul. 30 – The Hong Kong-based Chinese General Chamber of Commerce celebrated its 110th birthday this week, hosting a lunch at which Dai Xianglong, China’s National Social Security Fund Chairman, was the honored guest.

Stating in his address to the Chamber that he expected “decades” of growth in China, he said he believed that China’s GDP this year would reach about US$5.5 trillion, with growth at about 10 percent. Stressing that China’s leadership was placing great emphasis on encouraging domestic consumption and the environment, he indicated that the period in China’s development on concentrating on export manufacturing and accumulating savings was drawing to a close.

Dai, a former governor of the People’s Bank of China, continued to mention that opportunities in China for foreign investors would remain robust and that the new policy would bring plenty of opportunities in China for investment.

He stated that since the reform and opening up instigated by former leader Deng Xiaoping had begun in 1979, foreign investors had contributed more than US$1 trillion into the mainland. Rebalancing the economy would take time, though, as China’s average savings rate was 51 percent of income, compared with an average of 19.7 percent globally, and the government had to get people to change their habits. The figures mean that China has the highest savings rate in the world. Unlocking that purchasing potential is the key to China’s continuing development, he said.

Other reforms that were needed include further reform of China’s tax and financial structures, opening up of the financial sector, cutting the costs between government and private sector relationships, and breaking up some state-owned monopolies. Such reforms would maintain China as a global engine of growth for the next thirty years, he added.

The Chinese General Chamber of Commerce is a non-profit-making organization of local Chinese firms and businessmen. Founded in 1900, it is one of the oldest and largest chambers of commerce in Hong Kong and, at present, has a membership of over 6,000 businesses, comprising associations, companies and individuals. Members’ businesses cover a wide spectrum of commercial and industrial activities in Hong Kong, including manufacturing, imports and exports, banking, insurance, real estates, building and construction, information technology, professional services, transport and communication, foods, retail and wholesale, catering, and tourism, all with an obvious focus on mainland China.