HSBC to Add 4,000 Jobs in 4 Years in China HSBC is planning a 30 percent increase from 13,000 employees in the Pearl River Delta in spite of the bank’s three-year plan to cut global headcount by 50,000 and reduce annual costs by up to $5 billion. (NYT Dealbook)
HSBC has been given permission to issue a Panda bond (a first foe a foreign bank). The greater ability to access to local fundraising bodes well for the bank’s Pearl Delta plans.
What is most striking about George Osborne’s Chinese tour is he is doubling his political and economic bet on the world’s number two economy at a time when that economy is looking its most fragile for 30 years.
His calculation is that China’s economy will slow in a relatively contained way to a more sustainable rate – perhaps 4% or 5% a year compared with the official target of 7% – without a devastating crash that would damage a large number of client economies and engender social unrest in China itself (in employing the great Goldman bull of China Jim O’Neill as his commercial minister, Osborne could hardly wager otherwise).
The chancellor’s calculation is that the Chinese will remember who stuck by them when the going got tougher.
And he is also presuming that as the returns from investing in China itself diminish, Chinese institutions – many of them still loaded – will increasingly think owning a bit of Britain isn’t such a crazy idea after all.
Blackstone Hunts for Property Opportunities in China “Volatility can be your friend if you have a medium-to long-term perspective,” said Christopher Heady, head of the private equity firm’s Asia real-estate business.