Li Keqiang leaves world business leaders disappointed at Tianjin economic forum

Premier Li Keqiang failed to offer global business leaders any fresh solutions to the Chinese economy's slowing growth in his opening remarks at the World Economic Forum in Tianjin yesterday.

Li said the economy remained resilient despite clear signs of a slowdown in the past two months. And he disappointed his international audience by failing to offer any new ideas for dealing with a deepening property market slowdown or tackling funding bottlenecks for businesses.

Many participants left the conference room halfway through the opening ceremony, something rarely seen when a top government leader representing the world's second-largest economy speaks at a high-profile forum.

"This time Li failed to talk about detailed policy steps. Instead, he focused more on explaining reform measures that have already been decided," said Liu Shengjun, executive deputy director of the China Europe International Business School at the Lujiazui Institute of International Finance.

Hong Kong's Hang Seng Index fell 1.93 per cent yesterday, its biggest single-day drop since February, mainly on concerns that US interest rates might rise sooner than expected.

Market observers said the slide was also triggered by Li's comment on Tuesday during his meeting with global entrepreneurs, when he ruled out a drastic easing of credit supply despite M2 money supply growth falling to a five-month low last month.