China’s savings rate tops global peers at 43% of GDP
China’s gross national savings rate stands at around 43% of GDP, more than double the US rate and well above Japan and the Eurozone, reflecting a deep pool of domestic capital.
China maintains a gross national savings rate of approximately 43% of GDP, the highest among the world’s largest economic blocs. That exceeds the United States (18%), Japan (32%), and the Eurozone (24%).
The rate has stayed above 40% for nearly all of this century, while the US has not breached 20% over the same period. Both Japan and the Eurozone trail by double-digit margins.
A persistently high savings rate provides a larger pool of domestic capital that can finance investment, expand manufacturing capacity, and strengthen the industrial base, acting as a powerful source of long-term productive capacity.
Source: The Kobeissi Letter