Many middle class Chinese have told the South China Morning Post’s This Week in Asia how they got their money out of China simply by lying. Beijing allows Chinese citizens to purchase up to US$50,000 in foreign currency each year for uses such as overseas holidays and studying abroad – common excuses used by those seeking to invest overseas. But there are other ways as this infographic shows:
And while the SCMP article went to great lengths to give reasons for the Chinese to want to move their money abroad, they forgot one simple explanation: No property rights e.g. property in China is leasehold (much can change during the lifespan of a 50 year lease) while property abroad is usually freehold.
To read the rest of the article, Why are China’s middle classes moving their money abroad?, go to the website of the South China Morning Post.
Similar Posts:
- Meat Scandal Sees McDonald’s Sales Drop 7.2% in Emerging Markets (SCMP)
- The Chinese Property Market: The Most Important Industry Globally Which Few Understand (Platinum Asset Management)
- South Korea Learns Not to Annoy China as Their Tourist Numbers Fall (CNN Money)
- Chart: Asia GDP Per Capita Has Risen Sharply Since 1960 (Aberdeen)
- Accounting Fraud and Abuse Still Widespread Among Listed Chinese Stocks (CMN)
- The Great Chinese Exodus (WSJ)
- China Venture Capital Deals Shrink Amid Regulatory Concerns (Nikkei Asia)
- False Narratives: Rise of the Emerging Market Middle Class (Advisor Perspectives)
- China’s Mutual Funds Industry Now the Second Biggest in Asia (The Asset)
- China is a Minefield for International Creditors (Washington Examiner)
- Kyle Bass: China’s Xi Intentionally Crashing Property Market, Preparing For War (Epoch Times)
- Online Lynch Mobs Target Expats in Singapore (SCMP)
- BNP Paribas’ Chi Lo: Patient Investors Should Build Up China Exposure Now (CMN)
- Occupy Central Protests Will Hurt These Hong Kong Stocks (SCMP)
- China’s $246B Foreign M&A Buying Spree Is Slowing (Bloomberg)
