Chinese Premier Li Keqiang delivers a speech during the China-Germany Economic and Technological Cooperation Forum at the Great Hall of the People in Beijing, China, June 13, 2016.
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Uncertainties in the world economy have increased after the U.K.’s vote to leave the European Union, China’s Premier Li Keqiang said.
Schwab, for his part, said the WEF has established a good partnership with China.
Alluding to criticism that China was sitting on a bad-debt bubble, Li said that China’s central government debt ratio was about 16 percent, better than its Western counterparts, and that Beijing would create conditions that would allow for lower corporate leverage ratios and financing costs.
During a visit by President Xi Jinping to London in October, the Chinese foreign ministry issued a statement that called Britain “an important member of the EU” and expressed hope it would play a role in promoting Chinese-EU ties.
Chinese companies own France’s Club Med, the makers of Pirelli tires, Volvo cars and Weetabix cereal and football teams Inter Milan of Italy and Aston Villa of Britain.
Despite market speculation that the renminbi would depreciate further, Li repeated that the country’s economic health did not warrant devaluation and said the currency would remain stable.
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Though China and Britain have a history of disputes over human rights and the future of the former British colony of Hong Kong, export-reliant China has valued Britain as a strong advocate for free trade within the EU. But they say the direct economic impact on China should be modest.
