As the International Monetary Fund's annual meeting drew to a close over the weekend, Tao Zhang, the deputy managing director of the fund, outlined his view on the global economy.
Zhang said the world's second largest economy is undergoing big changes as it moves towards a consumption-led economy that's less dependent on exporting cheap goods to the rest of the world.
"It's already happening, it should continue, and of course during the process the rapid credit expansion needs to be paid closer attention to, and we observe the authorities are taking measures, and these measures actually already have early, positive results," he said.
Asset prices globally have ignored geopolitical and policy risks, like North Korea. "We have to be alert. Yes, we have good momentum. We have to open our eyes widely and make sure . . . that these downside risks or whatever risk, will be in our minds," Zhang adds.
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