CDF Voice｜Bill Winters： "Openness" and "sustainability" form the cornerstones of China's modernization journey

The “CDF Voice” column aims to bring together business leaders and convey the voices of the forum delegates.

Since its launch in 2000, CDF have upheld its mandate of “Engaging with the world for common prosperity”.

At present, the economic recovery is still fragile, and the impact of the COVID-19 and geopolitical crisis is continuing. Although China’s economic recovery is improving, lackluster demand, slow recovery in labor market and global supply chain adjustments and other pressures are still present.

The world is experiencing unprecedented change, how do foreign enterprises in China view China's development? How can foreign enterprises grasp the opportunities and challenges in the Chinese market? What insights do they have about China's future economic recovery and social development?

As the 2023 annual meeting of the China Development Forum is about to be held, the "CDF Voice" column invites representatives of global enterprises to discuss the above topics.

The guest of CDF Voice today is Bill Winters, Group Chief Executive of Standard Chartered PLC.

I'd like to start by wishing everyone a wonderful start to the new year of the Rabbit.

I am very pleased to participate again in the China Development Forum, this time in person. It’s an excellent opportunity to discuss key topics and global challenges with the best minds in government, business and finance.

I’m particularly excited about this year’s CDF because it is the anchor for my first visit back to China since the pandemic. And my reunion with colleagues, customers, clients and friends will be like a homecoming. That’s because China feels like home for Standard Chartered as a whole.

We’ve been here for over 165 years, growing from a single branch in Shanghai to a presence in 30 cities across the country. We are exceptionally well placed to deliver for our customers and clients - using our unique global footprint to connect commerce and investment within China, and beyond its borders.

Given our own history and our ambitions for growth in China, this year’s theme for the CDF Voice, ‘China’s journey to Modernisation’, is a perfect fit for Standard Chartered. We have identified two key words that, for us, should underpin China’s modernisation journey - ‘openness’ and ‘sustainability’.

Our growth in China is emblematic of China’s opening-up initiatives. We are proud to have achieved many ‘firsts’ as a bank in China. The first international bank providing RMB settlement services, and the first foreign bank to be able to trade Chinese government bond futures, to name just two.

These approvals allow us to connect clients from around the world to the market in China and clients in China to the 60 markets across the Standard Chartered network. Our strength across ASEAN markets is a particular benefit, given the region’s growing importance to Chinese trade.

Now, sustainability is already at the centre of China’s modernisation agenda, with its twin goals to peak carbon emissions by 2030, and to achieve carbon neutrality by 2060. Ecological and environmental risks are very real for all of us. No one – no country, or business or individual is immune, and none of us can address these problems on our own.

Standard Chartered understands the complexity of navigating climate risk and economic development. That’s why we’re facilitating USD 300 billion of sustainable finance to help our clients transition to net zero.

We were the first British bank to sign up to the Green Investment Principles of the Belt and Road Initiative, and the first foreign bank in China to launch the sustainable RMB Certificate of Deposit to retail clients. So, we continue to be at the forefront of sustainable finance innovation, in China and beyond.

Importantly, sustainability also defines how Standard Chartered contributes to the communities in which we operate, especially in times of challenge. Through a mix of employee participation, donation, and cooperation with government, charities and community organisations, we supported medical and community workers during the lockdown in Shanghai. We also conduct training programs to improve employment prospects for university graduates and help several disadvantaged groups – all so important to future development and our commitment to the community.

Looking ahead, we are optimistic that China will deepen its reform and opening up at an accelerated pace – we look forward to the opportunities this will bring for our clients across the world. We are sticking by our above-consensus forecast that China’s GDP will grow by 5.8% this year.

Consumption will be the key driver, and we also expect China to become a major force behind the global recovery amid recession risks in major developed markets. A number of structural trends will define the next few years: a global shift towards Renminbi assets; the swift expansion of the sustainable finance market; strong growth in wealth creation; calls for more offshore diversification and further growth of Chinese corporates.

With our unique network strength, strong expertise, broad partnerships, and innovation capabilities, we’re committed to accelerating domestic and international connections for China across a whole host of vital areas.

I look forward to participating in this year's CDF and can’t wait to be in Beijing in person.

Thank you very much!