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China will not face recession after Olympics
(Xinhua)
Updated: 2008-03-02 20:59

BEIJING  -- China, with a large economic size and plenty of investment prospects, will not face recession after the Olympic Games in August, said economists to attend the annual full sessions of the top legislative and political advisory bodies.

"I was frequently asked during my just-ended trip to Europe if China would  face recession caused by investment declines after the Games, and 'no' was always my answer," said Justin Yifu Lin, a deputy to the 11th National People's Congress (NPC), the top legislature.

It is mainly because that the volume of Chinese economy is much larger than some Olympic hosts that experienced post-Olympic recession, said Lin, who is also the World Bank's new chief economist and newly appointed senior vice president.

There will be plenty of investment prospects in the fields of infrastructure and industrial upgrading, while the consumption growth and foreign investment will remain at high level, said Lin.

Besides, China will host the World Expo and the Asian Games in 2010, and a few other important international events after the Olympic Games, the economist added.

Prof. Li Yining, a noted economist and political advisor, said some Olympic hosts faced recession after the Games because investment dropped, many people working for the Games had to seek new jobs and the influence of the Games, without the backup of certain industries, faded.

However, such problems would not reoccur in China as it is in the process of industrialization, according to Li, a member of the 11th Chinese People's Political Consultative Conference (CPPCC) National Committee.

The NPC and the CPPCC will open their annual full sessions on March 5 and March 3, respectively.



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