People visit the digital economy exhibition area of the fifth China-Arab States Expo in Yinchuan, northwest China's Ningxia Hui Autonomous Region, Aug. 22, 2021. (Xinhua/Feng Kaihua)
BEIJING, Aug. 23 (Xinhua) -- China's recently stressed promoting common prosperity in the pursuit of high-quality development is expected to bring investment chances in five-related aspects, reported Xinhua-run Xinhua Finance citing a research report released by China Securities Monday.
As the report provides, the five related aspects are enhancing the basis for income increase, cultivating dynamic growth engines of income increase, alleviating income increase worries, enriching income increase channels and opening consumption upgrading space.
For achieving goals of the first aspect, more existing and new infrastructure resources are likely to be used to help underdeveloped regions and low income groups thus sectors such as hardware and internet software, digital economy, urban real estate in core cities and house renting are worthy of further attention for investors.
On the second aspect, dynamic growth engines may refer to high-end manufacturing giants and specialized, distinctive and new small- and medium-sized enterprises (SME), which are important driving forces of income increase, and businesses in IT, new energy, and biomedicine sectors that are still enjoying policy dividends in China.
To ease income increase worries, more public services including education, medical treatment and health service, and old care service are expectable therefore related industries in the mid term boast broad space of development.
Regarding enriching income increase channels, the charitable donation-based income distribution may foster development of foundations and charity organizations and propel the change of the currently real estate-dominated preservation of capital among Chinese people to a mix of more diversified assets, which may benefit stock market, bond market and the related institutions such as securities brokers and insurers.
Alongside the gradual realization of common prosperity and notable increase in people's overall income, the space for consumption upgrading is anticipated to be opened up and more consumer goods that have the potential to achieve quality improvement and services sectors including culture, media, sports and entertainment may hail high-speed growth, the report says.
With a stable economic outlook, Chinese policymakers are steadily pushing the agenda of promoting common prosperity to make economic development more balanced and inclusive. (Edited by Duan Jing with Xinhua Silk Road, duanjing@xinhua.org)
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