With selected research partners, we explore the future of risk coverage, assess changes in the risk landscape and act as a catalyst for industry change.
China's government will leverage "new infrastructure" to mitigate economic slowdown and power growth. This reflects an inwardlooking strategy to boost domestic demand and also manage external headwinds. Investments in "new infrastructure" will drive further expansion of the digital economy, which will account for half of national output by 2030. This will also extend the boundaries of insurability and open new investment opportunities.
Key takeaways
China will invest in "new infrastructure" as part of fiscal stimulus to mitigate economic slowdown and boost growth
In absolute terms, there will be a near-fivefold increase in investment (USD 1800 billion) in new infrastructure spanning this decade.
New infrastructure will accelerate growth of the digital economy, which will account for 50% of national output by 2030.
Many commercial lines such as engineering and liability insurance, will benefit.
Motor insurance will be materially impacted by digital transformation, with a likely declining share of total P&C premiums over time.
Economic Insights, direct to your inbox
Our Economic Insights series looks at current economic topics and their implications for the re/insurance industry.
Subscribe to receive each edition of Economic Insights.
Economic Insights
New infrastructure: China takes the lead, to mitigate slowdown and power future growth
Contact
sigma research
Our data driven research publications, including the industry leading sigma, enable risk focussed decision making and identify strategic opportunities in the re/insurance industry.