A sustained exodus over the next few years will likely continue to drive Chinese property investments abroad. About 712,000 people from the country will migrate to the US, Canada, and Australia from 2023 to 2025, a report by real estate firm Juwai IQI’s estimated. Capital flight from the mainland could reach $150 billion this year, as more people park their money abroad for fear of additional measures at home. Related: Booming Chinese Family Offices Recruit Top Bankers in Singapore and China Notes, July ’23: On Technological Momentum
- Date Posted:
- July 20, 2023
While clearly not all of the foreign asset allocation that was previously done by Saudi Central Bank is now being done by the Public Investment Fund (PIF), some significant portion of it does seem to be. Hence a look at PIF’s Annual Reports can provide some basic insights into some aspects of the new form of petro-dollar recycling. In particular, we focus on the more transparent and traditional assets PIF shows on balance sheet. Of the roughly $777bn in total assets at end 2022, $305bn are listed as current assets, and $472bn are listed as non-current assets. However, of the non-current assets, nearly half—$225bn—are held as investment securities.