Zhou Xiaochuan: Possible relaxation of private investment access in the future

On the evening of July 17, central bank governor Zhou Xiaochuan, speaking at the Beijing University's National Development Institute's "Young financier leadership" summer camp, said that how the two countries jointly address the challenges of global economic imbalances will be the next issue of strategic economic Dialogue between China and the United States. Since the financial crisis, many Western economists have argued that global imbalances are at the root of the financial crisis.　　After the financial crisis, Zhou said, the core topic of global imbalances began to turn to savings imbalances from the initial imbalances in trade, reserves and capital flows.　　In 2005, when China started reforming the renminbi exchange rate regime, he said, it had realised that the imbalance in foreign trade was hidden behind the imbalance between savings and total investment, and that exchange rate reform was not the panacea for this imbalance. Zhou Xiaochuan believes that savings can be divided into three categories: government, business, household savings.　　Among them, the government savings increased relatively quickly, but the base is not large, household savings are relatively stable, the growth of enterprise savings is faster than in recent years the main reason for the sharp rise in savings rates. The ratio of household savings to GDP in China is actually fairly stable, according to the paper.　　1992 was 20.3%, 2007 was 20%, there were some fluctuations, the low time to 17%, but basically remained at 20%, while the enterprise savings accounted for 1992 11.3%, 2007 up to 22.9%, rose by one times. Zhou said that China's service industry is underdeveloped, and investment access restrictions are also the reason for the increase in savings rate. In the financial crisis, the Government realized that the response to the financial crisis, not only rely on government investment, but also to stimulate investment in the people. The future may be to relax the scope of private investment access, as a policy issued.