Chinese President Xi Jinping has used the plenum meetings to announce a myriad of reforms to set the tone for his leadership, and while not all of those policies have been implemented, they were a statement about the country’s future, Roach told CNBC’s “Squawk Box Asia” on Monday.
“The failure to take advantage of that opportunity at a time like we have today in China, which is actually a much more serious set of challenges that China faces, I think, you know, indicates the fact that they may have run out of imaginative solutions to tough problems,” Roach said.
China is reeling from an array of issues, not least economically. Confounding expectations, the world’s second-largest economy has struggled to regain momentum after the coronavirus pandemic.
This includes the country’s property market, which has been in turmoil as construction projects are left incomplete and developers are struggling to make ends meet. Recent data has suggested an economic slowdown, which paired with persistent deflation and a sluggish stock market has left many market participants questioning whether to invest in China’s economy.