WASHINGTON, May 21 (Xinhua) -- China's economy is bouncing back from the coronavirus pandemic with a pick-up in consumer spending, manufacturing and investment, according to a U.S. investment expert.
"When thinking about prospects for the Chinese economy, one of the most important factors is whether the coronavirus remains under control. At this point, China appears to have wrestled COVID-19 into submission," Andy Rothman, investment strategist at San Francisco-based investment firm Matthews Asia, wrote Monday in an analysis.
"It is also encouraging that two weeks after a five-day national holiday in China, when over 100 million people traveled for leisure, there has not been a spike in COVID-19 cases," Rothman said, adding China's economy looks to be well on its way to recovering from the coronavirus-imposed lockdown.
"A return to normal may not happen until next year, but consumer spending, manufacturing and investment appear to be all bouncing back strongly," he said.
As consumption accounted for almost 60 percent of China's gross domestic product (GDP) growth last year, Rothman said the recovery in consumer spending is critical for China's rebound from the pandemic.
Citing the recovery of sales of autos and homes in April, Rothman said it reflects that China's consumers have both money and confidence in the future to spend it.
He also noted the importance of government's support for workers and businesses, which has laid the foundation for an economic recovery.
"As a result, when the National People's Congress meets later this month, I expect only a modest stimulus designed to broaden the cushion and accelerate the pace of the recovery back towards normal," said the investment expert.
Nicholas Lardy, senior fellow at the Washington D.C.-based think tank Peterson Institute for International Economics, also said Tuesday that China's large-scale COVID-19 testing may pave the way for a strong economic recovery.
"Because China's economic recovery will depend largely on reviving its service sector, its strategy of large-scale testing for COVID-19 can help restore consumer confidence, paving the way for a stronger recovery in private consumption," Lardy said.