The Chinese economy will continue to perform well in the long-term despite the slower than usual growth the country has been experiencing during the past several quarters.

This optimistic forecast was made by no less than Hong Kong's richest man Li Ka-shing who noted that China's current trade surplus, the income-generating capacity of the domestic services industry, and the continuous flow of foreign money are a testament of the nation's strong economic performance.  

Like Us on Facebook

In his first interview since 2012, the 87-year-old billionaire said that investors who are only monitoring the country's rising debt are actually missing out on the larger picture and fail to see how the Chinese economy is actually faring, China Daily reported.

"The long-term outlook for the mainland is good," the chairman of CK Hutchison Holdings Ltd remarked from his office situated on top of the Cheung Kong Center building in downtown Hong Kong.

"People only see the debt in the State-owned enterprises and in households, when they need to recognize that China is a big exporter," he added.

According to Li, those export receipts are a "positive for China," and have helped boost the nation's trade surplus to 3.7 trillion yuan ($560 billion) last year, while serving as a buffer as the weaker yuan spurred capital outflows.

The business mogul's confidence in the Chinese economy largely comes from the stimulus measures being implemented by the Central government. 

Li, who is a native of the southeastern Chinese city of Chaozhou, has his fortunes tied to the mainland.

The revenues of his real estate unit, Cheung Kong Property Holdings Ltd, generate about half its revenue from his hometown and dozens of properties spread across China.

On the other hand, Li's flagship company, CK Hutchison, earned 14 percent of its profit from the mainland, where his business empire operates about 2,500 Watsons and ParknShop stores.

During the interview, Hong Kong's wealthiest man also called on the British people to vote in favor of the UK staying with the European Union.

"If Brexit happens, it will be detrimental to the United Kingdom and it will have a negative impact on the whole of Europe," Li pointed out.

As the top business executive expects the Chinese economy to remain stable, he has continued to express his concerns over the possible fallout that may take place if the UK decides to leave the EU.

 

Tagschina, China economy, CK Hutchison Holdings Ltd, Hong Kong's Richest Man