$CSOP Hang Seng TECH Index ETF (03033.HK)$ May rise to aroun...

May rise to around 4.50.

The National People's Congress (NPC) will begin on Mar 5, anticipating the largest government reshuffle in a decade. During this meeting, China's parliament will outline their 2023 work report for China's economic and social development, which is expected to focus on stimulating its Covid-beaten economy. The NPC will also install new faces at the top of main economic and regulatory bodies including the central bank, replacing a generation of leaders seen as more reform-oriented.

The Communist Party of China Central Committee and the State Council released a guideline that emphasized the importance of building a digital China, which supports the development of the country's new competitive edge. The plan sets a clear direction for digital development, including promoting the integration of digital technologies with the real economy and accelerating their application in key areas such as finance, agriculture, education, and medical services.

By 2025, China aims to achieve effective interconnectivity in digital infrastructure, improve the digital economy, and adopt digital technology in various areas. Additionally, China plans to speed up the buildout of 5G and gigabit optical networks, optimize data center deployment, and bring digital technologies to social sectors like healthcare and education.

Government officials will be partially assessed based on their participation in China's digital development.

With over 2.31 m 5G base stations installed, China plans to continue supporting the healthy development of Big Tech firms.