China’s decision to ease rules on travel in and out of the country, the world’s second-largest economy, has offered investors hope that it could soften the toll from higher interest rates on global stock markets and unblock supply chains amid a dark outlook for 2023.
Chinese authorities said late on Monday that inbound travellers would not have to quarantine on arrival, from 8 January onward. The announcement marked the latest in a series of steps to reopen the country, which is home to vital global supply chains and 1.4 billion people.
Analysts at Goldman Sachs, a US investment bank, believe that despite the strain on China’s medical systems amid a jump in Covid cases, the overall impact will be positive for its economy.
The steps to free up movement of people in China domestically and for inward travel support the investment bank’s expectation for GDP growth above 5% in 2023, ahead of some Wall Street rivals.
“We view the…
