Tagged: economy

India’s economy surpasses Japan’s in 2031

According to a recent report of Bank of America Securities, by 2031, India will surpass Japan and become the third largest economy in the world after the United States and China.

 

This will be postponed for three years by the Bank of America forecast in 2028. The bank said it was due to COVID-19’s impact on India’s economy.

 

Inderanil Sen Gupta, economist at Indranil Sen Gupta and Aastha Gudwani, wrote in the report: “due to the impact of COVID-19, we now expect India to become the world’s third largest economy in the year of 2031/32, instead of 2028.”

 

BofA researchers point out that if India grows at 9% a year, India will reach Japan’s nominal GDP in US dollars by 2031. If the economy grows by 10% a year, India could overtake Japan by 2030, the report said.

 

In order to curb the spread of the epidemic, India implemented long blockade measures last year, causing economic crisis. Millions of people have lost their jobs, many of them permanently. Although India’s economy is improving, S & P said that compared with before the outbreak, India’s economic output may be permanently reduced by about 10%.

“New weekend economy” becomes a new engine of consumption

1、 New weekend Economy: emotional consumption in the scene of weekend as time node

becomes a new engine of consumption
With the Z generation of young consumers becoming the main force of the new era, the whole market is gradually changing with the changes of their consumption mode and consumption demand. “Arrange for the weekend”, which is the consensus of the Z generation youth group. The young people who have taken over the consumption market are not only the main groups of content consumption, but also the main experiencer and leader of “eating, drinking, shopping and entertainment”. On weekends, they punch in, socialize, shop, go to KTV to sing, and jump in bars. These activities have become the main ways for the Z generation youth to relax, socialize and entertain on weekends, so the “new weekend economy” is becoming a new force of economic growth.
The new weekend economy refers to the economic category that takes weekend as the time node or provides economic supplies with weekend as the theme. For example, use weekends to drive with family and friends in surrounding cities, or take part in a two-day and-a-night Music Festival on weekends. More recently, white-collar consumption is also a typical weekend economy. From the office building to the large shopping malls, weekends are usually the time when the order volume and sales volume are the most.
Weekend consumption is a great deal of emotional consumption for generation Z consumers. For example, in order to comfort their hard week to release the pressure of the mood, can and 35 friends in the weekend to gather together. On weekends where work pressure is removed, order a small wine in barbecue stand and wine house, and then a few barbecue strings to release the exhaustion of a week; on weekends sleeping to natural wakefulness, dress up carefully, and then book a long-lasting online red restaurant, and set the holiday by checking in. In a way, weekend is a time node where people can release their emotions, whether they want to vent, socialize, learn or consume tens of millions of dollars. But the time latitude scene of the weekend is unchanged. By spending on weekends and releasing their mood, weekends will be the real “rest day”.
The new weekend economy has great potential, and consumers’ willingness to consume on weekends is generally much higher than that of working days. For example, the report of “insight into the trend of food consumption in the dining hall by 2020” issued by the food and beverage Institute of the United States Group also reveals the potential of weekend consumption scenarios: during the recovery period of epidemic, the vitality of catering hall food consumption returns, and the weekend catering consumption has contributed significantly to the recovery of the whole catering market. The online food search heat of meituan in June to July is 27% higher than that of working days; the online orders of weekend catering account for 37.7% of the total orders of the whole week, and the daily average quantity is 1.5 times of the working day. Weekend catering consumption has driven the economic recovery and is becoming a new engine driving consumption.

becomes a new engine of consumption
On weekends, consumers can spend more time freely and have more opportunities to spend, so they play a key role in consumption. Many enterprises have seen the importance and development space of the new weekend economy, and took the lead in opening up a new blueprint with innovation. For example, the United States Group has launched weekend promotions such as “super weekend” and “crazy weekend”. Especially in the weekend activities of “815 super free food festival”, there are many innovations, which are specially designed to create special benefits and benefits for weekend scenes. At the weekend of August 15-16, the event not only launched exclusive brand offers, but also launched the “shopping cart full reduction across stores” and other play methods, which set off the weekend food and beverage consumption boom. During the 815 super free food festival, only two days from August 15 to 16, the total consumption on the mass online reached 137million yuan, with more than 2.05 million milk tea coffee, 1.34 million hamburger fried chicken and 1.09 million ice cream sold.
2、 Characteristics of “new weekend economy”: young people, night consumption, and circumjacent travel
Compared with other scenes, weekends can stimulate people’s enthusiasm for consumption. After a busy week, people need a specific time to relax. Go to the beauty shop for massage, stroll around the city, or have a good meal. This kind of accessible and freely controllable weekend consumption mode is the primary choice for most consumers in the post epidemic era. Meanwhile, with many industries launching various activities with weekend as the theme, the industrial chain of the new weekend economy has gradually formed.
The three prominent features of the new weekend economy are young people, night consumption and surrounding tours. First, whether it is the continuous insight of various consumption reports on the passenger flow group or the data feedback from the Internet, it is very clear that the importance of young groups for consumption is clearly marked. Moreover, the report of insight into the trend of food consumption in the dining hall in the weekend 2020 shows that the group under 35 is the main force of weekend night consumption, accounting for 85% of the weekend night market, and the favorite snack, barbecue and drink three categories, which indicates that the consumption capacity of young people on weekends is huge.
Secondly, night consumption is also one of the characteristics of the new weekend economy. According to the survey data of the Ministry of Commerce, the peak passenger flow of more than 1 million people in Wangfujing is in the night market, and the commercial sales volume at night accounts for 50% of the day in Shanghai. The catering turnover of Chongqing is over 2/3 in the night, and 55% of the service industry output value in Guangzhou comes from the night economy.
Meanwhile, from the weekend consumption of “815 super preferential Food Festival”, consumers in the north, Guangzhou and Shenzhen prefer night nights. The proportion of orders from 9:00 p.m. to 6 a.m. accounts for more than 20% of the total daily orders, of which Guangzhou is 32.7%. Thus, there is a great room for the increase of night consumption on weekends.
Finally, the surrounding tour is also a popular consumption mode for the generation Z young people. In the current situation where the epidemic situation is not fully controlled, a large number of overseas tourism has been converted into domestic tourism, among which, the demand of surrounding cities is the most vigorous instead. Because the surrounding tour can be realized on weekends, it is convenient and quick to travel without long journey or schedule in advance. It is said that walking on the road is a good choice for weekend leisure. The surrounding resort in many areas is difficult to find on weekends. The “weekend free flight” launched by China Eastern Airlines can take the flight of East Airlines for 3322 yuan at weekends. Changfei can fly to major cities except Hong Kong, Macao and Taiwan. Once the products are launched, the market reaction is strong, and the app purchase entrance of China Eastern Airlines has been squeezed once.
3、 Social consumption, grass planting consumption and emotional consumption will be new opportunities for the incremental growth of “new weekend economy”
Under the influence of the epidemic situation, “new weekend economy” has played an important role in promoting the recovery of consumption and promoting economic growth. The new weekend economy as the core of life style, one-stop consumption new business forms, there is a huge market stock and unlimited potential of future increment. When the merchants and platforms on the supply side start to expand the consumption space and actively create weekend boutique scenes from the aspects of food and housing, travel and entertainment, we should also pay attention to new incremental business opportunities to realize further upgrading and development.
When enterprises are transforming into the new weekend economy, we must grasp three key points to grasp the wave of the new weekend economy. First, social consumption. On weekends, the social needs of generation Z group are more intense, because generation Z is basically the only child, and they attach great importance to the communication and interaction between friends. It is an opportunity for the Z generation consumers to experience the pleasure in weekend social interaction.
Taking the crazy weekend jointly held by KFC and the United States as an example, in combination with the consumers’ mind of weekend party, KFC has launched multiple party packages for consumers to choose. For example, the original price of “enjoy meal” for 4-5 people is only 117 yuan, and the average cost is 23.5 yuan. According to statistics, KFC sales rose 68% on a month on month during the crazy weekend event in July, which is closely related to the preferential activities with the concept of “dinner and social” as the core concept. Second, according to the data of meituan, generation Z young people think it is delicious to eat together. Hot pot, barbecue and barbecue with social attributes have become the c-place choice for the youth to have dinner on weekends. Social consumption is the differentiated demand of generation Z, they are not only for eating, but also for social use.
Second, grass consumption. With Z generation becoming the main group of consumption, they have different demands from the previous generation X and generation y. For example, young people like to “plant grass for consumption”. “Planting grass” is the proper term of generation Z. they like to see the relevant content shared by others before shopping. If the content shared by the other party is interested in themselves, generation Z will generally try, that is, “grass planted”.
In the weekend consumption, generation Z young people often collect activities suitable for spending on weekends and be planted on weekdays. After being planted, they will accumulate certain expectations continuously. In addition, they want to reward themselves on weekends. These Z generation young people often achieve their “small goals” of being planted on weekends to obtain fresh feeling and satisfaction A sense of humor.
Big data show that eating list will become a new search keyword on weekends. It is with the platform like meituan that consumers can plant grass first and then consume. Businesses can promote their own brands in this way, such as finding influential KOL, online red and bloggers to promote, so as to expand their popularity. Once there are more recommended people, these Z generation consumers will be attracted to generate consumer will.
Third, emotional consumption. It refers to the young users not only pay attention to the function of products and services, but also pay more attention to the release and expression of emotion. Generation Z young people know more about enjoying life and relaxation. The young people who have accumulated certain pressure and exhaustion tend to release their emotions at the weekend, which can control their time and belong to the youth of generation Z. what they want to do is to leave the troubles accumulated in working days, and be themselves and express themselves on weekends. For example, the “weekend follow the fly” activity of China Eastern Airlines is that it gives the flight freedom and follow-up emotion, and can move young users who advocate freedom and walk on. For example, Chaoyang Joy City in Beijing has built a “youth ideal life festival” market only opened on Friday and weekend in outdoor square. The businesses that have settled in include some catering brands, art galleries, cultural and creative shops and handmade shops, so that consumers can feel their ideal life and have warm and charming emotional experience. The event attracted more than 150000 consumers to punch cards, and the huge traffic of people brought considerable potential consumers to the business. The passenger flow of the mall has increased by more than 30%, and the sales volume has increased by more than 40%. It can be observed that if the business can attach emotion to goods or services, it can move consumers more, thus creating new incremental opportunities.
It is not difficult to see that weekend is a key consumption scenario worth the efforts of the business. The “new weekend economy” is becoming one of the effective means to stimulate consumption demand and realize incremental. Unlike other economic categories, the new weekend economy is more active on the supply side – that is, by focusing on weekend consumption scenarios, and supporting the multi-element and effective supply, the enthusiasm of mass consumption is mobilized. Moreover, the core of social consumption, grass planting consumption and emotional consumption is actually the transformation and development of thinking for businesses. From the product thinking from the previous self to the scene thinking with users as the core, this is the key to realize the economic growth in the new weekend.

The first stock pick list for the Year of the Ox is released!

“Core assets” are too expensive to buy? Take a look at this “stock picking guide.” With the completion of the basic disclosure of the 2020 annual performance forecast, major brokerage research institutes have also adjusted their ratings and target prices for listed companies based on the performance forecast.

In terms of quantity, since late January, the number of brokerage research reports has blown out. Choice data shows that since February, there have been nearly 1,000 company research reports that have only given a “buy” or “force push” rating. The editor combed and found that with the recent deduction of the ultimate leading style of A-shares, many popular leading stocks, including Amic and CDF, have broken through the recent target prices given by brokers.

In addition to these popular stocks, comparing the latest research reports and stock prices of brokerage firms, 43 stocks have an expected upside of more than 50%, of which 8 are expected to double in the Year of the Ox.

Can “Moutais” still go down?

On February 10, CITIC Securities issued a research report and gave Kweichow Moutai a target price of 3,000 yuan. On the same day, Anxin Securities also gave a target price of 2,710 yuan. The latest closing price of Kweichow Moutai is 2601 yuan. If calculated according to the target price of 3,000 yuan, there is still about 15% of the expected upside.

The CITIC Securities Research Report stated that in the short term, non-standard Moutai products are expected to be the first to catalyze growth, maintain the price stability of ordinary Feitian Moutai, and consolidate potential price increases. Looking at the longer dimension, the company has a solid foundation for a steady increase in volume and price, with a high certainty of long-term performance growth, and is expected to fully enjoy the valuation premium. The 2021 Spring Festival dynamic sales will continue to build a stronger consensus. The investment in the liquor sector is still optimistic. Moutai has both offensive and defensive capabilities, and more catalysts are expected to lead the industry to rise.

However, while Kweichow Moutai has recently hit a new high, news of institutions’ reductions in its holdings has also continued to spread. In the fourth quarter of 2020, the world’s largest fund holding Moutai, the “America Fund-Europe Asia Pacific Growth” fund, reduced its holdings of Moutai by 450,000 shares. As of the end of 2020, the fund held a market value of 2.189 billion US dollars, equivalent to 14.195 billion yuan. During the Spring Festival, UBS (Luxembourg) Equity Fund-China Opportunities (USD) also reported reducing its holdings of Moutai. As of the end of January, Kweichow Moutai was the fund’s fifth-largest stock with a market value of 8.16. One hundred million U.S. dollars. Compared with the end of 2020, the fund’s holdings in Kweichow Moutai decreased by 3.66% Spark Global Limited.

Over trillions of Red envelopes quenching the thirst of the real economy

At the beginning of 2020, in order to fight the epidemic in full force, the central bank decisively set up a special reloan of 300 billion yuan based on the principle of prudent monetary policy and more flexibility and moderation, and provided preferential interest rate credit to key enterprises in the production, transportation and sales of key medical and living materials stand by. After the financial discount, the actual financing cost of the enterprise fell

RMB

In a fashionable restaurant in Mianyang, Sichuan, diners celebrated their long-lost reunion with their drinks. Li Yunsong, the person in charge of the restaurant, roughly calculated that November’s turnover increased by nearly 10% over the same period in 2019. In Li Yunsong’s view, the restaurant is rejuvenated after the epidemic, thanks to the “reassurance” of the bank.

Under the impact of the epidemic, in order to help small and medium-sized enterprises like Li Yunsong regain their strength, the central bank has successively increased the special re-lending and rediscount quota of 500 billion yuan to support the orderly resumption of work and production of enterprises, and increase the re-lending and rediscount quota of 1 trillion yuan to support the economy Resume development and inject financial water into the real economy.

In the second quarter of 2020, in order to enhance the directness and accuracy of funds, the central bank created the “Inclusive Small and Micro Enterprise Loan Extension Support Tool” and the “Inclusive Small and Micro Enterprise Credit Loan Support Program” two monetary policies that directly reach the real economy. Tools to effectively alleviate the pressure on repayment of principal and interest for small and micro enterprises and increase the proportion of credit loans. Liu Wei, President of Renmin University of China and member of the Monetary Policy Committee of the Central Bank, said: “The monetary policy is flexible and appropriate, which not only quenches the thirst of the real economy, but also avoids flooding.”

As of the end of November, the balance of broad money (M2) was 217.2 trillion yuan, a year-on-year increase of 10.7%, and the growth rate was 2.5 percentage points higher than the same period in 2019. The monetary policy has not only achieved the effect of releasing water to raise fish, but not allowing the water in the pond to overflow.

Let the real economy live!
They did these extraordinary actions…

From the perspective of capital prices, the dividends of the LPR reform continued to be released, and the financing costs of enterprises were significantly reduced. In August 2020, the Governor of the Central Bank, Yi Gang, specifically mentioned in an exclusive interview with a reporter from the Central Station that the loan interest rates of small and micro enterprises and private enterprises have reached a record low.

Supported by the ultra-conventional monetary policy, a series of data such as China’s GDP growth rate and the profit growth rate of industrial enterprises above designated size have turned positive. The rapid recovery of the real economy is behind the burden of financial institutions. In 2020, the state proposed that the financial system should give 1.5 trillion yuan in profits to the real economy, which caused a rare negative growth in the net profit of commercial banks. According to Qu Jian, vice president of the China (Shenzhen) Comprehensive Development Research Institute, such a huge profit concession is to keep the real economy alive. Qu Jian said: “If the real economy collapses and the supply chain breaks, banks are the biggest victims. Therefore, banks should actively promote profit transfers and let the real economy survive. This is a virtuous circle.”

Looking forward to 2021, will the unconventional monetary policy continue or gradually fade out, and will the financial system’s profit-sharing plan continue?

Liuyuanchun

Liu Yuanchun, vice president of Renmin University of China, interpreted: “The positioning of monetary policy in 2021 is much more complicated than that in 2020. Unconventional policies must be gradually withdrawn. However, we have to adopt some local conditions according to different industries and departments. Financial concession behavior still needs to be further implemented, either through fee reduction and concession, or through interest rate cuts.”

Let the real economy live! At the beginning of 2020, the central bank set up a special reloan of 300 billion yuan to provide preferential interest rate credit support; in the second quarter, it created the “Inclusive Small and Micro Enterprise Loan Extension Support Tool” and the “Inclusive Small and Micro Enterprise Credit Loan Support Plan”….. . This year, financial and monetary policies have become more flexible and appropriate, with huge gains! The year-end special article “China’s Economy Stands Steady 2020”, an inventory of China’s economic “exceptional” 2020.

There is no distinction between good and bad capital itself

There is no distinction between good and bad capital itself, and its essence is to pursue profit. This is classically stated in Marx’s “Capital” review: once there is appropriate profit, capital will become very courageous. As long as there is a profit of 10%, it will be used everywhere; 20% will be lively; 50% will cause active risk; 100% will make people disregard all laws; 300% , It will make people not afraid of crime or even the danger of hanging their heads. If turmoil and disputes will bring profits, it will encourage them.

Therefore, Marx has long argued that capitalism has limitations and predicted that the capitalist system will inevitably lead to an economic crisis. But even if Marx saw early on that the nature of the capitalist crisis is determined by the greedy nature of capital, early practice shows that the solutions he proposed still have drawbacks—the core lies in the lack of adequate incentive mechanisms.

After China’s overall reform and opening up, the idea is to cross the river by feeling the stones, but it is also in the process of continuous absorption and optimization. Other countries in the world have given us enough experience in its development process, and of course there are also lessons. . Since its development, my country’s economic construction has achieved world-renowned achievements, and at the same time it has embarked on a unique development path, namely socialism with Chinese characteristics, emphasizing the indispensable role of the government and the market in economic and social development, and “invisible hands.” And “visible hands” should be used well.

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Everything is pros and cons. The advantage of a market economy is that the market operates on its own and efficiently regulates the economy. At the same time, many people believe that the essence of the market economy is competition. Because of the existence of competition, the market will be very effective and fair. In fact, the market It is not completely effective. In the case of monopoly elements, market competition will be stifled in the cradle from the beginning, especially with the integration of modern capital-finance-monopoly, market failures in this area have changed. To make it even more prominent, if private capital is not regulated and a private capitalization monopoly is also implemented in the core element field, the fairness of distribution is ignored in the process of blindly pursuing efficiency. Pursuing the maximization of benefits with core elements will inevitably lead to a capitalist crisis. Of course, it will inevitably evolve into a social crisis in the end. Although its positive side is that it can better meet the needs of social growth, it also Cause a series of problems such as social distribution;

The advantage of the planned economy is that the government can enter the market in a timely manner when there are loopholes or problems in the market economy. Of course, the downside is that if the planned economy is over-emphasized, it will also fall into inefficiency.

No development method is necessarily perfect. There will always be problems of one kind or another. Keep moving forward while balancing the pros and cons of various methods. This is the path of China’s development. It is necessary to allow state-owned capital to gradually withdraw from non-core elements. At the same time, state-owned capital must maintain absolute control over core elements. It is necessary to allow private capital to exert its efficiency and progress, and at the same time to restrain capital to avoid the occurrence of crises caused by the blind pursuit of profit maximization by capital.

This path may seem difficult, but it is indeed an optimal attempt to integrate the latter of the two exploration paths of Western capitalism and Marxism-Leninism communism. Since 2014, Hong Kong has exposed the social turmoil and tearing brought about by excessive capital monopoly, and since 2016, the populism of the social tearing caused by the intensification of the rich and poor in the United States has prevailed before us. experiences and lessons. From China’s perspective, after 2010 or the end of the global financial crisis, China’s financial, real estate and other capital tied up the government to force the people to pay. This exploration of crossing the river by feeling the stones has gradually entered the process of preventing gray rhinos and deflating risks.

A lot of people feel that they come out for restraint only when something goes wrong. They often go back and ask why they can’t restrain earlier? The manager is not a saint, and he cannot make forward-looking judgments. Perhaps the interests of all parties are entangled, or you cannot forward and intervene before something happens;

The “don’t forget the original intention” mentioned by the new leadership team-this kind of revision actually started in 2016, from strengthening financial supervision after the stock market crash to not speculating on housing and housing, to the strengthening of anti-monopoly and policies proposed by the Politburo meeting last week. Preventing the disorderly expansion of capital reflects the determination of decision-makers in all aspects. Gray rhinos are not just real estate that has accumulated conflicts in the past. In fact, gray rhinos have fully surfaced from real estate, finance and Internet monopoly.

The first step to control risk is to control leverage, pinch the source and persist in deleveraging, and then gradually dismantle the bombs. This is the current method to resolve risks. For the gray rhinos who have kidnapped society to a certain extent, the cost of a hard landing is too high, but no measures are taken to allow the risks to continue. The lessons of Western society are a huge warning to us.

In the past, the development path that relied on real estate and land finance had its two sides. On the one hand, it did solve the source of early developing government funds, and it also accelerated the realization of the purpose of improving residents’ lives. On the other hand, it overdrafted the leverage of the residential sector and accelerated high housing prices. At the same time, local governments rely too much on land finances, which restricts the progress of the productivity of the whole society. In recent years, the path of relying on real estate to stimulate the economy has gradually changed from more advantages than disadvantages to disadvantages than advantages. Clear judgment.

From the 2016 Central Economic Work Conference’s proposal that housing should not be speculated, to Chairman Guo Shuqing’s recent statement that real estate is the biggest “gray rhino” in terms of financial risks in my country at this stage, all of which reflect the determination of decision-makers to increase real estate policy regulation. But in the face of real estate, an industry that is very important to the government, banks, and residential sectors, the only way to resolve risks can be to slowly dismantle the bombs to exchange time for space, and to alleviate social conflicts as much as possible.

Therefore, for other rising capital behemoths, we must never allow the creation of such a behemoth that kidnaps the government, financial system, and even society. This is the source of the crisis of capitalism and the greater crisis of social tearing. .

The second gray rhinoceros mentioned next is financial risk. The risks brought by the stock market crash and capital flight in 2015 are no less than the real estate bubble. From the 2017 Financial Work Conference emphasizing that financial security is an important part of national security, to preventing and resolving major risks as the first of the three major battles, we have seen financial deleveraging, financial anti-corruption, and financial private capital strengthening in recent years. Supervising the financial “barbarians”, the prevention and resolution of financial risks have gradually been carried out in an orderly manner.

The third gray rhino is Internet+, which was advocated in earlier years. In fact, there is a commonality in this. The above-mentioned financial services serve the real economy and Internet + promotes innovation. These initial intentions are good. However, if capital is expected to have an overall view and overcome self-interest, it is against The essence of capital greed. From the perspective of the development path, the early development of the Internet promoted the improvement of production efficiency, but the later development inevitably moved towards profit-seeking and monopoly.

So the official media said: “Don’t just think about a few bundles of cabbage, technological innovation is even more exciting.” This is the truest portrayal of the profit-seeking nature of capital and the government’s hope that capital can have an overall view of the situation.

Whether it is real estate finance or the current Internet oligarchs, they all have exactly the same characteristics-they will eventually become a big beast that cannot fail, kidnapping everything to maximize profits. Real estate hijacks the finances of residents, financial departments, and local governments; financial monopolies ultimately use the stability of the financial system to hijack the entire society. The 2008 financial crisis is the best example; the natural nature of the Internet “winner takes all” if it is not controlled It will also bring about monopoly. After the oligarch destroys the C-side through monopoly, it uses platform channels to monopolize the B-side. Finally, through financial capital intervention, a huge financial, data, and people’s livelihood will be bundled together. Big big beast that can’t move.

This is also the most typical feature before the capitalist crisis. The prescription of the Keynesian school was to advocate that the country adopt expansionary economic policies to promote economic growth by increasing aggregate demand, even if most of the currency will eventually flow to a small group of people, so Keynes predicted from the beginning that it can solve the current problem. But the fundamental contradiction cannot be resolved.

Twenty years ago, the reform of state-owned enterprises in the era of Premier Zhu Rongji required great courage to resolve and undertake to break the predicament of enterprises that were too large to fail. The employment of tens of millions of state-owned enterprise employees was behind it. Now it also needs great courage and courage to resolve the kidnapping of real estate, finance and Internet oligarchs.

The improvement of production efficiency and the wider application of technology to make life more convenient are what society needs, and the use of these technologies to monopolize in order to maximize benefits is a capital need. From the perspective of capital, it seems that there is nothing wrong with me, but from the perspective of social development, it is full of entanglements. This is a question of degree. Once the boundary is passed, it will do more harm than good, otherwise, the advantages outweigh the disadvantages.

The essence of finance, real estate, and Internet monopoly capital is to maximize the benefits of capital, and the final result is that capital is getting richer and richer. There is nothing wrong with being rich, but if it is not based on productivity improvement, it is based on On the basis of the debt of the next generation of the next generation, this is destructive wealth for the society. The next generation has no hope at the moment, and the social monopoly has reached the extreme, and the wealth differentiation has also reached the extreme. This is the source of the capitalist crisis. China is now aware of these problems, either because capital is heavily taxed, or it is to break this way of distribution of wealth based on the debts of others.

As a result of capital over the government and over the people, Western society has given enough experience and lessons, and China’s path must be different from it. Stopping the disorderly expansion of capital and using the “visible hands” of the government to guide capital to where it should go is also China’s “initial aspiration” different from the world.

How does bank financial management stand out? CCB does this →

“The ’14th Five-Year Plan’ is a critical period for China’s wealth growth, and it is also a critical period for the realization of people’s wealth. Banks must play their part in helping people manage their finances. Guide funds, especially people’s savings, to enter the capital market through reliable channels to promote the economy High-quality development is the mission of CCB as a large state-owned bank.” In an interview with a reporter from the Financial Times a few days ago, Sun Na, general manager of the Personal Finance Department of China Construction Bank, said that we must seize the development opportunities in the new era, Regulations require that while doing a good job of transforming itself, it should convey correct financial management concepts to consumers and promote the high-quality development of financial management business.

Exhibition industry ushered in a golden age
“Innovation-based new economy industries are characterized by high risks and low fixed asset rates, and cannot be effectively integrated with the traditional indirect financing market based on bank credit funds and collateral guarantees. It requires a multi-level capital market direct financing system. Investment. Wealth management business connects wealth management and asset management, and runs through the cyclic value chain of’retail customers-wealth management-asset management-investment banking-corporate customers’.” Sun Na believes that China is currently undergoing “a century of great change, a dual cycle pattern” “Under the background of the two overall situations, it will bring broad development opportunities for the development of retail banking business and the expansion of investment and wealth management.
On the one hand, from the perspective of the new development pattern of “dual cycles”, expanding and strengthening the investment and wealth management business is to play the role of financial tools in optimizing the allocation of social resources and support the transformation and development of the real economy, especially to meet the needs of rapid development of new economic industries through direct financing. Serve the domestic cycle, strengthen the internal cycle momentum, and help the country’s strategic transformation.
On the other hand, from the perspective of the circular value chain of investment and financial management, for the B-side, it is an important way to solve corporate financing problems, improve the efficiency of resource allocation, and serve the production and operation of enterprises; for the C-side, it is an effective way to promote individual customers to participate in the sharing of national innovation and development. Dividends, managing wealth for the people, making the people rich, and benefiting the people’s livelihood are important measures to implement the “six stability” and “six guarantees.
“At present, my country has entered a stage of high-quality development. The per capita GDP has reached 10,000 U.S. dollars, the urbanization rate has exceeded 60%, and the middle-income group has exceeded 400 million people. The people’s requirements for a better life are constantly increasing. International trends are converging. Investment There is a significant positive correlation between the financial management rate and per capita GDP. From the perspective of international development history, when the per capita GDP exceeds 10,000 US dollars, it will enter the era of wealth management, and the proportion of investment and wealth management AUM will gradually increase.” Sun Na said.
At the same time, in Sun Na’s view, under the background of a century of great changes, my country’s residents’ wealth structure will undergo a major adjustment, showing the characteristics of “two ups and two downs”, which will also provide opportunities for the wealth management industry.
The first is the adjustment of the wealth structure. The proportion of real estate in residents’ wealth has fallen, and the proportion of financial assets has increased. 71% of China’s urban residents’ wealth is real estate. With the continuous implementation of the policy of “no real estate speculation”, real estate bids farewell to high growth and superimposes demand for elderly care. With the introduction of REITs, huge real estate assets will be revitalized through financial means. Real estate capitalization implies New opportunities.
The second is the structural adjustment of financial assets. The proportion of deposits in household financial assets has declined, and the proportion of investment and wealth management has increased. Residents’ financial assets account for more than 60% of deposits. During the “14th Five-Year Plan” period, with the development of the capital market and the superimposition of low interest rates, investment and wealth management ushered in golden opportunities.
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Outstanding encirclement during the transition period
In the critical year of bank wealth management transformation, break rigid redemption, prohibition of maturity mismatches, strict separation of on-balance sheet and off-balance sheet requirements, separation of new and old products, advancement of wealth management subsidiary operations, and the impact of the epidemic on financial institutions’ capital and assets A two-way impact occurred at the end of the year, putting pressure on the bank’s financial transformation. Facing challenges, how does the banking industry respond? Sun Na introduced the measures of CCB from three aspects.
The first is to enhance customer value. “We continue to enrich the choice of customer asset allocation, coordinate the management of self-operated bank wealth management and agency sales of wealth management sub-products, new and old products, and deepen the customer base through digital operations, and adapt to customer needs Different types of products, precise design of marketing paths and contacts, closed-loop monitoring and continuous agile iteration.” Sun Na said.
The second is to improve product competitiveness. On the one hand, CCB Group’s wealth management product management departments and institutions actively and steadily promote asset-side rectification in accordance with the requirements of asset management transformation to improve standardized asset operation; on the other hand, CCB and wealth management subsidiaries implement the Party Central Committee and the State Council. Regarding the spirit of financial services to the real economy and increasing the intensity of fee reduction and profit sharing, the rate of some wealth management products will be lowered to maximize the benefits to investors.
In addition, optimizing product functions and enriching application scenarios. CCB combined with changes in customer behavior in the Internet era, in-depth research on the flow path of wealth management users, and applying new content, new models and new technologies to improve customer reach, transaction rates and coverage. “For example, we recently upgraded and innovated the original cash management product, CCB Wealth Management, “Longbao”, launched the 7×24-hour real-time redemption function, and launched the “Zhifuying” automatic wealth management service to provide mortgage and credit card customers Smarter and more convenient service.” Sun Na said.
“We have the new financial concept of spreading drip irrigation to the front line of the grassroots as a service consensus, and have a strong team execution; at the same time, we have strong scientific and technological strength to support business development, such as smart government affairs, Yunongtong, and housing rental platforms. A very strong ecosystem allows us to find customers that we can’t reach at our branches. In addition, we are still striving to build and build CCB’s professional wealth management brand.” Sun Na believes that in the competition with other peer institutions, CCB is Dimensions have the upper hand.

Comprehensively improve customer service
“In terms of retail business operations and personal customer financial assets, bank wealth management is still second only to personal deposits, and one of the most important products for personal customers of our bank. Bank wealth management promotes economic development, transformation and transformation on the supply side. Cultivating customers’ financial management needs on the demand side plays a very important role.” Sun Na said.
In Sun Na’s view, as far as customer service is concerned, in the future, investment and research capabilities of wealth management subsidiaries, investor training and education, and customers’ understanding and acceptance of net-worth wealth management products, there is still a long way to go. The power point of innovation and development. “Most customers are accustomed to buying traditional products that have just been redeemed, and it still takes time to adapt to net worth products. We are also constantly increasing our efforts to adapt to and actively transform.”
For this reason, in the recent “CCB Wealth Management Season”, CCB emphasized the need to improve core capabilities such as mother-child collaboration, product supply and product sales, and pay close attention to customer demand response, product tracking evaluation and dynamic management, and net value product sales. The organization is in place, the sales behavior management and risk prevention and control are in place, and the enterprise-level financial service brand and service image are in place.
“In order to further improve customer service, during the’CCB Wealth Management Season’, we built on the existing digital operations in the early stage, based on digital insights, opened up both sides of supply and demand, insights, mining and creation of customer needs in ecological scenarios, flexible configuration, and proactive provision And instant delivery, speed up the realization of the same frequency resonance of customer demand and product supply.” Sun Na said.
At the same time, CCB is also vigorously promoting consumer protection at the institutional level. “The promulgation of Order 5 requires us to have a brand new understanding and change in consumer protection. For this reason, we focus on the bottom logic of’people’s pursuit of a better life’ and insist on customer-centricity. Since the beginning of this year, from top to top The entire consumer protection structure has been reshaped, and our service system and rules and regulations have been restructured.” Sun Na said that this year CCB held a bank-wide consumer protection work meeting for the first time and regarded this year as the bank’s “Consumer Insurance Infrastructure Year”. , And established a Consumer Rights Protection Committee with leaders of the branch in charge as director and deputy director. At the same time, according to the plan at the beginning of the year, 10 system documents have been formulated and distributed, including the working procedures of the Consumer Protection Committee, the improvement plan for consumer protection capabilities, the consumer protection work management measures, consumer complaint management measures, consumer protection review management measures, and publicity and education implementation opinions.

Top ten GDP cities in central and Western China: Chongqing

After China’s economy has entered a new stage of transformation and upgrading, the role of central cities in economic development has become increasingly prominent. Especially in the central and western regions, the role of central growth pole is more prominent.
Based on the statistics of the main economic indicators of the top ten cities with GDP in the first three quarters of the central and western regions and the top ten cities in 2019, the GDP of five cities in the central and western regions exceeded trillion yuan in 2019, of which Chongqing, Chengdu and Wuhan are among the top three cities in the central and western regions. In addition, nine of the top 10 cities are provincial capitals, and only Luoyang is an ordinary prefecture level city.
Who is the biggest brother in the Midwest?
According to the data, in the first three quarters, Chongqing, Chengdu, Wuhan, Changsha, Zhengzhou, Hefei, Xi’an, Kunming, Nanchang and Luoyang are the top ten cities in the central and western regions, which are consistent with the whole year of 2019.
Among them, in the first three quarters, the GDP of Chongqing, Chengdu and Wuhan exceeded trillion yuan, Changsha and Zhengzhou exceeded 800 billion yuan, and Hefei and Xi’an were in the echelon of 700 billion yuan.

buildings
From the perspective of the whole year of 2019, there are five cities with GDP exceeding the trillion yuan mark, namely Chongqing, Chengdu, Wuhan, Changsha and Zhengzhou; Hefei and Xi’an, with more than 900 billion yuan, belong to the reserve forces of the club cities with trillion GDP, so it is more likely to break through the trillion yuan mark this year. These seven cities are also the most competitive “seven little dragons” in central and Western China.
From the perspective of specific cities, Chongqing, Chengdu and Wuhan are in the first echelon. These three cities are the three cities with the largest economic volume, the largest population in the central urban area and the strongest radiation force in the central and western regions. They are also national central cities. In a number of important indicators, the three cities are significantly ahead of other cities.
For example, in terms of GDP, the three cities will all exceed 1.6 trillion yuan in 2019; in terms of total capital, Chongqing and Chengdu will both exceed 3.9 trillion yuan; in terms of the population size of the main urban areas, the three cities will have more than 8 million people, and they are marching towards megacities.
As the only municipality directly under the central government in the central and western regions, Chongqing’s GDP ranks first in the central and western regions. In the first three quarters of this year, Chongqing’s GDP reached 177.710 billion yuan, a year-on-year increase of 2.6%. According to the current situation, it is very likely that Chongqing’s GDP will surpass that of Guangzhou in the whole year.
Peng Peng, executive chairman of the Guangdong Provincial Institute of restructuring and reform, who is home to Chongqing, analyzed to the first financial reporter that the area and total population of Chongqing are much larger than those of Guangzhou. Chongqing has a population of more than 30 million, with an area of 82400 square kilometers, which is equivalent to a medium-sized province. There is still a lot of room for development. It is normal for Chongqing’s GDP to rank before Guangzhou in the future.
From the analysis of industrial structure, Chongqing’s rapid economic growth is closely related to the rapid growth of industrial manufacturing industry. In particular, with the rapid growth of “6 + 1” pillar industries, such as automobile, electronics, equipment, chemical medicine, consumer goods, materials and energy, Chongqing has taken the lead in completing the industrialization process in the central and western provinces. However, compared with Wuhan and Chengdu, Chongqing’s industry is relatively “traditional”, and the development of high-tech industry, emerging industry and intelligent manufacturing is insufficient.
Among them, state-level high-tech enterprises are important indicators to measure the development of high-tech industries in a city. According to the data, in 2019, the number of state-owned high-tech enterprises in Wuhan and Chengdu has exceeded 4000, while the number of state-owned high-tech enterprises in Chongqing is 3141, which is far away from both Wuhan and Chengdu.
Wuhan is the city with the strongest higher education strength in the central and western regions, and also the city with the largest number of high-tech enterprises in the central and western regions. In 2019, Wuhan has reached 4417. Wuhan East Lake high tech Zone has gathered dozens of listed companies such as Fiberhome communications, Huagong technology, etc., which is one of the most concentrated areas of Listed Companies in China.
Compared with Chongqing and Chengdu in the upper reaches of the Yangtze River, Wuhan also has shortcomings and gaps in many aspects. For example, Wuhan’s total capital is 2.86 trillion yuan, while Chongqing and Chengdu exceed 3.9 trillion yuan in the same period; in 2019, the foreign trade import and export volume of Chongqing and Chengdu both reached about 580 billion yuan, while that of Wuhan was only 244 billion yuan in the same period. In addition, Wuhan is located in the middle reaches of the Yangtze River urban agglomeration, the overall competitiveness is also significantly lower than that of Chengdu Chongqing urban agglomeration.
Changsha and Zhengzhou compete for the second place in Central China
Hefei, Xi’an: towards the trillion mark
After the top three, Changsha and Zhengzhou, the two central provincial capitals, ranked fourth and fifth respectively. The provinces where these two cities are located are the provinces with large population and agriculture in the central region, as well as the top ten provinces in terms of economic aggregate. In general, there is a big distance between the two cities. Therefore, in the future, which city will be the fourth in the Midwest and the second in the central China?
According to the data, Zhengzhou’s GDP will surpass Changsha by 1.5 billion yuan in 2019 and become the second largest in Central China. However, in the first three quarters of this year, Changsha and Zhengzhou compete for the second place in Central China
Hefei, Xi’an: towards the trillion mark
After the top three, Changsha and Zhengzhou, the two central provincial capitals, ranked fourth and fifth respectively. The provinces where these two cities are located are the provinces with large population and agriculture in the central region, as well as the top ten provinces in terms of economic aggregate. In general, there is a big distance between the two cities. Therefore, in the future, which city will be the fourth in the Midwest and the second in the central China?
According to the data, Zhengzhou’s GDP will surpass Changsha by 1.5 billion yuan in 2019 and become the second largest in Central China. However, in the first three quarters of this year, Changsha surpassed Zhengzhou by 28.4 billion yuan, ranking second in the center.
From the main economic indicators, the two cities have their own advantages. In terms of foreign trade import and export, Zhengzhou is twice as much as Changsha. In addition, in terms of the size of permanent residents, urban population and economic hinterland, Zhengzhou has more prominent advantages. Niu Fengrui, a researcher at the center for urban development and environment of the Chinese Academy of Social Sciences, analyzed the first financial reporter. Zhengzhou is the capital city of Henan. Henan is the most populous province in China, and is the core area of the Central Plains. As the center of land transportation, Zhengzhou is becoming more and more important as a logistics center.
However, Changsha also has obvious advantages. On the one hand, Changsha’s equipment manufacturing industry, cultural industry, medicine and automobile industry are very prominent. Take the equipment manufacturing industry as an example, in recent years, Sany Heavy Industry, Zoomlion, Shanhe intelligent and other equipment manufacturing enterprises have emerged in Changsha. On the other hand, Changsha’s private economy is also very good. At the same time, it also has famous universities such as National Defense University of science and technology, Central South University and Hunan University. The development trend of high-tech industry is also very good. Last year, the number of state-owned high-tech enterprises in Changsha exceeded 3000.
Geng Mingzhai, honorary Dean of the school of economics of Henan University, believes that Zhengzhou lacks a high-level platform for gathering innovative talents, and there is no good university, university or institute, so the total amount and level of high-quality innovative talents are not enough.
The GDP of Hefei and Xi’an both exceeded 900 billion yuan last year, and exceeded 700 billion yuan in the first three quarters of this year. Both cities are expected to enter the ranks of trillion cities this year.
These two cities have also been popular on the Internet in recent years. Among them, Hefei is widely concerned because of its large-scale layout in emerging industries. According to the data, at the beginning of the founding of new China, Hefei was a small city with a population of only 60600, with a total industrial output value of only 1.63 million yuan, far less than Bengbu, Wuhu, Anqing and other cities in the province. Even in 2000, Hefei was known as a big county seat by the outside world. At that time, its GDP was only 32.5 billion yuan, ranking more than 80 cities in China. However, after entering the new century, Hefei has made great progress all the way, surpassing many provincial capitals and cities with separate plans, ranking 21st in China in 2019.
Lin Fei, a researcher at the Institute of economics, Anhui Academy of Social Sciences, analyzed Hefei’s overall development thinking in recent years, accurately grasped the industrial development law, and grasped the industrial division and upgrading path. On the one hand, it did a good job in the agglomeration and upgrading of the original industries, on the other hand, it vigorously developed emerging industries such as integrated circuits and artificial intelligence.
Xi’an is the only one among the nine national central cities whose GDP has not yet exceeded the trillion mark. In the first three quarters of this year, Xi’an’s GDP reached 707.531 billion yuan, an increase of 4.5%. It is very possible to break through the trillion mark.
At present, Xi’an is the leading city in the whole northwest region, with a high degree of primacy. At the same time, Xi’an is one of the five major science and education towns in China, with good innovation resources and urban development foundation.

The driving force and development opportunities of DC/EP

Zhou Xiaochuan used data to illustrate the development of mobile payment. In 2019, mobile payments accounted for more than 60% of personal consumption expenditures. In 2020, the number of mobile payment users in China will account for nearly 60% of the total population, which is already relatively high. At present, the large-amount micro-payment system composed of mobile payment, various electronic payments, and credit cards has already accounted for about 15% of the total.

Banking business began to be fully digitized 20 or 30 years ago. Accounts are all entered into computers and are processed digitally. Later, all communications are also digitized. In this case, the banking business is largely a data processing business. Therefore, whether it is digital currency or data processing, it should be regarded as digitization in a broad sense. Of course, there are also people in the world who want to put it in a narrower sense.

What are the driving factors for the R&D, piloting, and possible future promotion of digital RMB? What are the development opportunities? This is also the focus of the industry’s most concern. In this regard, Zhou Xiaochuan also expressed his views.

First, the driving force mainly comes from the demand side, including continuous improvement of the payment system, especially the efficiency requirements of the retail payment system, as well as reducing costs, improving convenience, and better serving users. Of course, this also provides the possibility for continuous technological advancement. Technological innovators will also promote their own technology, but the demand side is still the mainstay.

For example, in blockchain technology, the central bank has always reminded the demand side to have a clear head. Blockchain technology has the benefits of decentralization, but is decentralization really what we really need for the modernization of our payment system? In fact, it is not necessarily true, and it will bring a lot of drawbacks if it is not done properly. It may be that the blockchain technology has the immutability of records, which is also a very useful technology, but the existing systems, especially the account system, are actually very unlikely to be tampered with, and the probability of occurrence is also very low. In addition, we must also consider the issue of active modification in case of transaction errors.

Another example is that there are some technical claims that you can not rely on an account. Is an account a bad thing? If you think about it, accounts in the financial system are actually good things. There is also an emphasis on digital transaction encryption technology. Looking back on the progress of electronic payments in the past two to three decades, many things are indeed encrypted, but the encryption links are different. Some are encrypted during account access, and some are encrypted during information transmission.

In the end, it is necessary to rely on the collision of technology and demand to arrive at a better development idea.

Secondly, Chinese people used to bring a lot of things when they traveled. Some people even made up the formula “skills for money”, saying that one should bring an ID card, second, a mobile phone, and third, a house key, and some cash. After the emergence of mobile phones as mobile Internet terminals, people found that they just need to bring their mobile phones when they go out. ID cards, bank cards, and health treasures are all in the mobile phones. Maybe car keys and door keys are also in the mobile phones. Mobile phones have many other functions, such as Watch news and entertainment. Therefore, people don’t necessarily want to bring cash, credit cards, etc., but hope that all these things can be integrated, which is also a big motivation.

After the further development of technology, there may be newer and more convenient things, but this is the case in China at this stage. These needs are in different countries, because the foundation is different, and the intensity of demand is also different.

Third, consumers accept new payments, what about retail stores? Before mobile payments, China could already use the Internet to acquire orders. To further develop Internet acquisitions, shops can use different methods, such as entry payment, NFC (Near Field Communication, NFC for short), and QR codes. Recently, DC/EP also introduced that transactions can be completed through NFC and the touch of a mobile phone. This is a kind of peer-to-peer (peer to peer) payment. With the improvement of network infrastructure, most places will be supported by the Internet, especially wireless networks. In case there is no internet, there is still a method like NFC to complete the payment.

Fourth, the second-tier commercial institutions in the two-tier system, including commercial banks, mobile phone operators, and payment platforms, should encourage reasonable competition among them, jointly provide services and innovate. In Zhou Xiaochuan’s view, the central bank is best not to pre-set or determine a certain technological route, because technology is constantly being updated, and it is not easy to judge when this kind of technology is progressing very fast.

There are also many discussions in the world, pointing out that special attention should be paid to the issue of financial disintermediation, especially the potential risks of financial disintermediation in second-tier institutions. Another risk is to prevent excessive price fluctuations of some virtual assets, speculation, and separation from the real economy. China attaches great importance to finance to serve the real economy. If some financial transactions are separated from the real economy, people will often raise question marks.

Fifth, the protection of personal privacy should be highly emphasized to prevent telecommunications and payment fraud. In China, telecommunications fraud has attracted much attention. The proportion of fraud through mobile phones and other methods in China is very high, and people are also very dissatisfied with it. This is also the driving force for the development of digital RMB.

The GDP per capita in 28 ordinary cities exceeds 100,000

GDP per capita is one of the important indicators to measure the level of regional development. Apart from municipalities directly under the Central Government, cities under separate state planning, and provincial capitals, what other ordinary prefecture-level cities have relatively high per capita GDP?

After analyzing the per capita GDP of various prefecture-level cities, a reporter from China Business News found that there are currently 70 ordinary prefecture-level cities with a per capita GDP higher than the national average of 70,892 yuan in 2019, of which 28 cities exceed the 100,000 yuan mark. There are two main parts of the city. One part comes from the eastern coastal areas with developed manufacturing industries and many factories; the other part mainly comes from some major energy cities in the central and western regions, dominated by oil and coal industries.

GDP per capita

Jiangsu has the most shortlisted cities

In terms of regional distribution, 20 of the 28 cities are from the eastern coastal areas, mainly distributed in the five provinces of Jiangsu, Shandong, Zhejiang, Fujian and Guangdong. Among them, Jiangsu has 7 prefecture-level cities shortlisted, which is the province with the most shortlisted cities. Jiangsu is also the province with the highest per capita GDP outside of the municipalities directly under the Central Government. Last year, the province’s per capita GDP reached 123,607 yuan, ranking third after Beijing and Shanghai among all provinces.

The seven prefecture-level cities in Jiangsu shortlisted are Wuxi, Suzhou, Changzhou, Zhenjiang, Yangzhou, Nantong, and Taizhou, mainly in southern Jiangsu and central Jiangsu. After the reform and opening up, benefiting from the development of the export-oriented economy, the economic development of Jiangsu as a whole changed according to the distance from Shanghai. The “Suzhou, Wuxi, and Changzhou” areas nearest to Shanghai have the best economic development, followed by Nantong, Yangzhou, and Taizhou in central Jiangsu. Northern Jiangsu is relatively backward. However, in recent years, the regional gap between north and south Jiangsu has been narrowing.

Zhejiang, which belongs to the Yangtze River Delta, has 4 cities with a per capita GDP of more than 100,000 yuan, namely Zhoushan, Shaoxing, Jiaxing and Huzhou, all located near Hangzhou Bay. It can be seen that Zhejiang’s economy is also showing obvious north-south differentiation, and the development level of several cities in the core area of ​​the Yangtze River Delta is higher than that of Western Zhejiang and Southern Zhejiang.

Three cities in Guangdong, Fujian and Shandong each were shortlisted. The three shortlisted cities in Guangdong, the largest economic province, are Zhuhai, Foshan and Dongguan. Zhuhai is a special economic zone and a central city on the west bank of the Pearl River. Although the total economic volume is not large, the tertiary industry and high-tech industries have developed very well in recent years. Foshan and Dongguan are famous manufacturing cities, and Dongguan is even more known as the “world factory”. In terms of regional distribution, these three cities are located in the core area of ​​the Pearl River Delta, close to first-tier cities.

The three shortlisted cities in Fujian are Quanzhou, Longyan and Sanming. Among them, Quanzhou occupies the coast of southern Fujian, with textiles, shoes and hats and other light textile industries as its pillar industries, ranking first in Fujian’s total economic output for more than 20 years. Longyan and Sanming are located in the mountainous areas of southwestern and western Fujian. Although these two cities have more mountains and less flat land, their per capita GDP exceeds that of Zhangzhou and Putian, which have more flat land along the eastern coast of Fujian. This also highlights the balanced development of Fujian. Fujian is also the only province where the per capita GDP of all prefectures and cities exceeds the national average.

Ding Changfa, associate professor of the Department of Economics of Xiamen University, analyzed to a reporter from China Business News that the per capita forest area in several mountainous cities in Fujian is large, and people can get a lot of benefits from forestry and agriculture. In the past, Sanming and other places had a better development foundation. In addition, Fujian has achieved high-speed rail links between cities and counties and highways between counties and counties. The infrastructure is relatively complete, which is also conducive to the balanced development of the region.

The three shortlisted cities in Shandong are Dongying, Yantai and Weihai. Among them, Dongying is an oil city. Yantai and Weihai are economically developed areas on the Jiaodong Peninsula with outstanding manufacturing and foreign trade imports and exports.

On the whole, among the 20 coastal cities with per capita GDP exceeding 100,000 yuan, with the exception of Dongying, a typical energy city, and the prominent energy heavy chemical industries in Longyan and Sanming, the rest are mostly export-oriented economies with developed and manufacturing industries. A developed city with many factories. For example, Suzhou’s electronic information, light industry, and textiles are very prominent, making it one of the cities with the largest industrial output value in my country; Dongguan’s electronic information, textiles and clothing, and Foshan’s home appliances, ceramics, and furniture are all prominent.

For these manufacturing-based cities, they are currently facing the hurdle of accelerating transformation and upgrading. On the one hand, in recent years, foreign trade exports have slowed down, and the economic growth of these export-oriented cities has also slowed down. On the other hand, the industrial structure of these cities is dominated by the manufacturing industry. In terms of urban spatial distribution, the counties and townships under their jurisdiction are often strong but the central area is weak. The tertiary industry, especially the modern service industry, is not prominent enough. The transformation and upgrading of the urban economy.

Looking to the future, these cities have different development paths. Including Suzhou, Dongguan, Foshan, Wuxi, Nantong, Zhuhai and other ordinary prefecture-level cities in the core areas of the Yangtze River Delta and the Pearl River Delta, and adjacent to first-tier leading cities, the current transformation and upgrading are mainly in the process of integration of urban agglomerations and metropolitan areas , Close cooperation with first-tier cities and core cities, complement each other’s advantages, and accelerate the upgrading of its own industries by taking advantage of the opportunities of resources and industry spillovers from first-tier cities.

While Quanzhou, Yantai and other ordinary prefecture-level cities far away from the core economy and first-tier cities, although the per capita GDP is relatively high, they generally suffer from insufficient development of high-tech industries and high dependence on traditional paths. In the future, these cities still need to solve the bottlenecks such as insufficient talents and weak driving force in central urban areas.