Goldman Sachs relaxed Respond to China's economic slowdown

When many people are concerned with issues of economic slowdown in China, there are those who actually optimistic about the future of this country's economy. Investment bank Goldman Sachs is one of them.

China's domestic economic downturn has spread to many sectors, including the financial markets. Since the month of June alone, the Chinese stock market has undergone a correction of 40% so that many investors rollicking attract capital. 2015 period can be called a difficult time for market participants despite of the regulatory side, the passion in the capital markets had increased thanks to the opening of the interconnection between Shanghai and Hong Kong.

China's economic growth throughout 2015 is still far from the target of 7%, announced the government. This situation raises concerns many people, especially businessmen and financiers who played in the country. However, the investment bank Goldman Sachs relaxed respond to developments in the second half. Through its chairman for the Asia Pacific region, Mark Schwartz, Goldman saw a positive side that can be drawn from the Chinese economic phenomenon.

"A lot of things did not go as expected, but there is absolutely no symptoms 'Doomsday' or a sharp economic downturn," said Schwartz told CNN. According to him, many market players respond to the issue of excessive slowdown in China when the transition being experienced in the country is quite reasonable. China began to change from a country that is governed by the government into the country opening up to the market mechanism.

Let's repeat the economic growth of 10% per year, to meet the range of 7% only China has made great efforts in the rest of the year. Even so, Schwartz saw the target of 7% is still achievable and quite able to maintain employment. The government itself began to change the course of the economy from infrastructure projects such as roads, railways and housing to other sectors, namely consumer spending. Dependable domestic consumption to offset flagging export performance.

"I'm glad the Chinese are willing to change. The government seems to be doing anything so that economic growth is not down to the range of 5-6% and steady job creation between 8 to 12 million per year," said the boss of Goldman Sachs. The Government has the space and flexibility to make policy changes so that market participants are advised not to worry too much. Goldman Sachs is targeting China's economy to grow around 6.8% in 2015.