(Economic Observation) Interview with Shishi Heishi: The world will jointly overcome the epidemic crisis to witness a substantial increase in economic growth
China News Agency, Beijing, April 24 (Xia Bin) "China's first quarter GDP decline is expected and unprecedented for China. But I believe that the world will overcome this crisis together , We will see a substantial increase in economic growth rate. China has a natural advantage, which will make it once again become one of the strongest countries in the world. "Su Shimin, Chairman of the Blackstone Group, said in a written interview with China News Agency recently .
Su Shimin, Chairman of Blackstone Group. Photo courtesy of interviewees
Under the impact of the epidemic, major international organizations and institutions have lowered their expectations for economic growth in various countries and regions, as well as in the global economy. Macroeconomic operations and financial market performance have fluctuated significantly.
As the head of the Blackstone Group, Su Shimin mentioned in his new book "Su Shimin: My Experience and Lessons" that he had experienced seven large-scale economic recessions and market declines.
"In my career, I have experienced many different market cycles." Su Shimin said that there is no doubt that the impact of the market cycle caused by the epidemic is extremely far-reaching. "We have never voluntarily stopped economic activities of this scale, which will have a wide-ranging impact. However, I believe the world will survive this crisis and the economic growth rate will also increase substantially. At present, governments around the world are taking important measures, To avoid a more serious situation. "
"I want to prove that frustration is a natural part of my career. Accepting failure and learning from it is one of the most worthwhile things for you." Su Shimin said in his new book about screening opportunities, risk management, and recruitment , Establishing the internal culture of the company and giving back to others, and other lessons, hoping to help everyone achieve greater success in work and life.
How should companies and investors respond to this extraordinary period? Su Shimin's suggestion is to first focus on the health and safety of employees in the company or all the invested companies, work closely with the team to consolidate existing businesses and help them cope with the current crisis, and then look for innovation or investment opportunities from the current market chaos.
He also specifically mentioned that Blackstone Group has been engaged in business activities in China since 1992, and will continue to look for attractive long-term investment opportunities here in the future.
Taking the Blackstone Group itself as an example, Su Shimin revealed that Blackstone's current corporate operating conditions are very strong, and its corporate structure can adapt to the current environment. As a long-term investor, Blackstone can support its invested companies in difficult times, and also look for opportunities to invest in new high-quality companies in the current chaotic market. "Our confidence in this strategy is stronger than ever."
The real estate business of the Blackstone Group is its most important basic market. Su Shimin said that in the real estate field, Blackstone has strong confidence in investment themes that follow the development trend. For example, Blackstone noted that the growing demand for e-commerce and warehousing has brought important development opportunities for the logistics industry.
However, he also emphasized that due to the impact of tourism and business operations, individuals and businesses are facing financial pressure. Affected by this, certain areas of real estate are facing significant challenges. As the rest of the world gradually returns to normal, the overall situation will improve.
Regarding the previous plunge in the US stock market, Su Shimin believes that the rapid response of the United States and governments around the world can help alleviate the direct impact of the epidemic on the economy. This is commendable but still needs to continue to work, because the overall recovery will take time. The current market volatility is largely due to the fact that the epidemic situation is still full of uncertainty. As people learn more about the virus, this uncertainty will decrease. "I am more concerned about the long-term health of the economy than the short-term stock market turmoil."
Regarding the future direction of Sino-US relations, Su Shimin pointed out that the first phase of the US-China agreement reached in January 2020 is a crucial first step. As the United States and China are each busy responding to the domestic challenges brought about by the domestic epidemic, the progress of trade negotiations in the subsequent stages will naturally be affected. But solving all trade tensions is in the long-term common interests of the two countries.
Su Shimin emphasized that countries around the world are currently at different stages of the new coronary pneumonia epidemic and are facing severe tests. "This outbreak provides us with a unique learning opportunity, and we can learn from each other's best experiences on how to respond to public health threats and economic challenges. Governments around the world also seem to provide strong support and economic stimulus in the short term Measures. Under the current circumstances, these measures are essential for the economy to survive the initial difficult period and achieve recovery. "(End)