As Xi Jinping began his unprecedented third term, the political climate in China remains uncertain. A mix of economic slump and complex policies is making the wealthy rethink their stay in the country, reported modern diplomacy.
The drive to reign in the economic influence of China’s private sector has diminished private sector expansion and business confidence. The regulatory policies unleashed in the past two years are unlikely to be relaxed anytime soon.
Under President Xi Jinping’s stringent wealth crackdown, there are fears of arbitrary detention, expropriation, or at the least trumped-up charges. These anxieties are fueling an emigration trend among the Chinese ultrarich.
Of the 445 people who lost their billionaire status last year, the majority, almost 230 were from China, according to the recently released Hurun Global Rich List for 2023.
Beijing’s crackdown on major tech companies which began in 2021, continues to hurt the country’s super-rich.
Tencent owner Ma Huateng lost three points and was placed at 31 on the list. Jack Ma Yun, the founder of China’s e-commerce giant Alibaba Group Holding, dropped 18 points to 52nd place from 34th a year earlier. ByteDance owner Zhang Yiming is down by 11 points alongwith CATL chairman Robin Zeng Yuqun whose worth dropped by 13 points, reported modern diplomacy. Moreover, frustrations over lingering COVID-Zero policies, censorship, economic stagnation and hardships, led to rare yet legitimate protests in China which ultimately only led to a deepening crackdown on dissenters.
