The economic situation concerning China’s economy serves as a cautionary reminder about the unpredictability of desired outcomes. Initial hopes for a robust post-Covid recovery gave way to a wish for economic weakness to prompt policy intervention. However, the extent of China’s economic struggles has surpassed expectations, leading to an unexpected reduction in a significant interest rate by the central bank. Despite the introduction of stimulus, the response remains muted, raising concerns about China’s pivotal role in the global economy. Expert opinions vary regarding the potential global repercussions, given the evolving financial landscape and China’s leadership dynamics. However, the major concern is how much a slowdown in China’s economy will affect commodity-driven countries due to China being one of the world’s largest markets. The table below highlights the potential risks of a further slowdown in China’s economy to a number of commodity-driven currencies.

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