News analysis

Despite stock market rout, don’t write off investing in China just yet, say analysts

On Feb 5, China’s benchmark Shanghai Composite Index hit a five-year low of about 2,650. PHOTO: AFP
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BEIJING – A stock market rout this week, on top of a drop in foreign direct investment (FDI) in China, has once again raised the question of whether the world’s second-largest economy is “uninvestable”.

On Feb 5, China’s benchmark Shanghai Composite Index hit a five-year low of about 2,650 before the Chinese authorities’ promise of policy support helped put a floor to the drop.

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