During the past six months, we have witnessed unprecedented disturbances in the global financial sectors. China is not immune to the rippling impacts and suffers most in its export industry, which had constituted 37 percent of its GDP in 2007. In anticipation of a prolonged period of export decline, China is launching major policies to stimulate domestic spending and investments in fixed assets. This will lead to substantial changes in its real estate investment focus and create a range of opportunities for infrastructure investment. This overall change in national development focus will have considerable impacts for foreign investors.

THE LONG-TERM GROWTH POTENTIAL

One-quarter of the world’s population is undergoing an unparalleled urbanization process. The massive urbanization movement in China will continue to be the backbone of China’s growth. Compared to the market uncertainty in many developing countries, 15 million people have been consisten