The Sunday Mail
Manyika Kangai
China Cuts Banks’ Reserve Requirement Ratio
China’s central bank said it will cut the Reserve Requirement Ratio (RRR), the amount of cash that banks are required to hold as reserves, by 0,25 percentage points from September 15. The reduction is the second RRR cut this year, and it is expected to release over 500 billion yuan (about US$69,6 billion ) in medium- and long-term liquidity. Including the RRR cut in March, reductions this year total 0,5 percentage points and could release over a trillion yuan (about US$139,12 billion ) in medium- and long-term liquidity. After the reduction, the weighted average RRR for financial institutions will be around 7, 4 percent. The cut will not apply to financial institutions that have already implemented a 5 percent RRR, which is currently the lower limit of the RRR, leaving significant room for further monetary policy adjustments.
China Unveils Top 500 Private Enterprises List
The All-China Federation of Industry and Commerce released the 2023 list of China’s top 500 private enterprises on Tuesday. E-commerce giant JD.com, Alibaba and petrochemical giant Hengli Group secured the top three spots, respectively. JD.com posted operating revenue of 1,05 trillion yuan (about US$144 billion ) last year – a 9,9 percent increase from 2021. According to a research and analysis report released alongside the list, the entry threshold in terms of revenue in 2022 for the top 500 private enterprises stood at 27, 58 billion yuan (about US$3,8 billion), marking an increase of 1, 21 billion yuan (about US$168,17 million from the previous year. Only 17 property developers made this year’s top-500 list, compared with 25 last year. Notable standouts that did not participate in the annual assessment include tech giant Huawei Technologies, which faces sanctions from the US and had ranked fifth in 2021, as well as financial services provider Ping An Insurance and struggling developer Country Garden. Tencent was sixth and BYD came in tenth. The combined operating revenue of China’s top-500 private firms reached 39,8 trillion yuan (about US$ 5,53 trillion) in 2022, up 3,94 percent from 2021.
China Launches Cybersecurity Week in Military Barracks
China kicked off a week-long awareness campaign to promote cybersecurity in military barracks, with a launch ceremony at the People’s Liberation Army Strategic Support Force Information Engineering University on Monday. During the week-long event, military units will receive education on the complex and challenging landscape in the online ideological sphere, making them equipped with knowledge of cybersecurity protection and emerging technologies in the digital realm. The activities of the cybersecurity awareness week, which will run until September 17, encompass a variety of formats including expert lectures, panel discussions, quizzes, and specialised training on network confidentiality. It aims to raise awareness about cybersecurity laws, regulations and policies while advocating for the lawful management, governance and usage of the internet.
China’s NEV Exports
China’s exports of New Energy Vehicles (NEVs) soared 110 percent year-on-year in the first eight months of 2023 amid the rapid expansion of the sector, according to the China Association of Automobile Manufacturers. A total of 727 000 NEVs were exported during the period. Exports of pure electric vehicles surged 120 percent from the same period last year to 665 000 units, and exports of plug-in hybrid electric vehicles climbed 73,5 percent to 62 000 units. China’s auto exports totalled 2,94 million units in the first eight months, up 61,9 percent year on year. Exports of passenger vehicles and commercial vehicles respectively climbed 69,8 percent and 31,1 percent from last year.
China to Launch New Services on Online Immigration Platform
China’s National Immigration Administration (NIA) will launch new services on its service platform starting from October 9. The platform’s new service menu will feature online appointments for applications for individual visas and other documents, online inquiries about the progress of the issuance of individual visas and other documents, online inquiries about information concerning individual visas and other documents, and online inquiries about China-issued foreign permanent resident ID cards. It will also feature online inquiries about the passport information of foreigners with permanent residence status, online inquiries about information concerning the authorities issuing the relevant documents, online service guidance, and online assistance for service users’ relatives or friends on behalf of them.
Manyika Kangai has over 15 years of experience facilitating and advising on China-Africa trade and investment deals. Feedback +27743487997/www.muvambi-sa.co.za
