Rome - China's strengthening economic recovery is an important development as the world struggles to emerge from the economic hardships caused by rising prices, eroding food supplies, and uncertainty amid the Ukraine crisis, a leading Italian global business and management expert has said.
China's economy — the second largest in the world — sends ripples across world markets whatever it does, said Antonio Majocchi, a professor of global management of the Department of Business and Management at Rome's LUISS University.
"If China's growth slows down, that is a problem for everybody, and if China's growth increases, this is good news for everyone,“ Majocchi said in a recent interview with Xinhua.
The impact of China on the world's economy is of the utmost importance and should absolutely not be underestimated, “especially for economies like those in Italy and Germany, which are major exporters,” he said, adding “it's the same for Europe in general.“
The latest news from China has been positive. According to the country's National Bureau of Statistics (NBS), retail sales of consumer goods in July were up 2.7 percent year on year, following the 3.1-percent increase in June.
The NBS said that China's economy in July “sustained the momentum of recovery” despite the “increasingly complicated and challenging international environment as well as frequent and sporadic domestic outbreaks of Covid-19.”
Majocchi said that the international situation made the budding global economic recovery from the coronavirus pandemic more “delicate“ and challenging.
"Everything is more difficult today,“ he stressed.
The global economy has seen higher prices in energy and transport and food shortages. Meanwhile, unusually hot and dry weather in European countries and elsewhere has also dealt a blow to many sectors.
The professor noted that prices in China are rising more moderately than in Europe. Annual inflation for July in the eurozone was up by 8.9 percent according to Europe's statistics office Eurostat, while US consumer inflation in July surged 8.5 percent from a year ago.