INTERVIEW: Sinai Sees U.S.-China Deal as Reducing Risks

Economy

Tokyo, Jan. 14 (Jiji Press)--Risks to the global economy have been reduced significantly, mainly by the "phase one" trade deal between the United States and China, U.S. economist Allen Sinai said Tuesday.

In an interview with Jiji Press, Sinai offered the view that Japan will achieve economic growth of 1.5 pct to 2 pct in 2020 thanks to the expected firmness of the Chinese economy.

It is really a step in the "right direction," Sinai said, referring to the U.S.-China deal, to be signed Wednesday, and the U.S. removal of China from its list of currency manipulators Monday.

While saying that conflict between the world's two biggest economies will continue "forever," mainly in the high-tech field, Sinai forecast that their trade battle is unlikely to be as fierce as in 2019, when they imposed additional tariffs on each other's goods.

He projected that China's economic growth will top 6 pct in 2020 as companies are expected to resume investments thanks to falling business risks.

[Copyright The Jiji Press, Ltd.]

Jiji Press