In an interview at the WEF in Davos, Joe Ngai, chairman of McKinsey & Company in Greater China, expressed confidence in the fundamentals of the Chinese economy.

Ngai highlighted that China's economy grew by 5 percent year-on-year in 2024, successfully achieving its growth target despite facing both domestic and global challenges.

He noted that economic data from the latter part of 2024 suggests that China's economy has stabilized and is likely to maintain this stability into 2025.

Ngai emphasized that China continues to present significant opportunities for global investment, driven by its large market size and robust growth rate.

He compared China's growth rate favorably against the slower economic growth experienced in major economies like Japan and the EU over recent decades, indicating ample development opportunities for companies.

Ngai sees emerging technologies, particularly artificial intelligence (AI), as crucial for unlocking new economic growth, while also warning of the risks associated with uneven development.

To fully leverage AI's potential, businesses must adapt their organizational structures and internal cultures to align with the demands of the intelligent age.

Despite the promise of AI, Ngai pointed out that less than 10 percent of companies have begun utilizing AI to enhance efficiency and reduce costs, suggesting that AI adoption in business is still in its early stages.

The 2025 World Economic Forum (WEF) annual meeting, themed 'Collaboration for the Intelligent Age,' has attracted nearly 3,000 participants to discuss pressing issues such as Reimagining Growth and Safeguarding the Planet.

He cautioned that geopolitical tensions and a backlash against globalization could introduce unprecedented uncertainty into the global economy, underscoring the urgent need for new growth opportunities.