“New normal” has become a buzzword in China since the second half of 2014. At the APEC CEO Summit on November 10, 2014, President Xi characterized China’s “new normal” as slower growth, economic restructuring and innovation-driven growth.

Over the past two decades, China’s growth paradigm characterized by investment and driven by exports has run out of steam. A major feature of China’s current economy is overcapacity, especially in the real estate sector. An increase in domestic consumption and infrastructure investment will help continue growth, but the biggest challenge facing China in 2015 is the high corporate debt ratio.

Different opinions have been observed as the figure of GDP for the second quarter in China —7.6% had been released. Optimists see the glass is half full, belie