Central People Government of People Re : China vital to defend globalization

China can greatly bolster global economic growth by advocating globalization and more infrastructure investment, said Sergei Guriev, chief economist at the European Bank for Reconstruction and Development.

Guriev said that ensuring globalization's momentum does not slow and making sure people benefit from it are particularly important.

'Populist leaders have been taking advantage of the dissatisfaction of those who have been left behind in globalization,' he said.

Guriev spoke to China Daily ahead of the World Economic Forum in Davos, Switzerland, which will be attended by President Xi Jinping. It is the first time a top Chinese leader has attended the forum. It also has come at a time when China is taking more of a leadership role in reducing free-trade barriers globally, as when President Xi attended a forum in November of Asia-Pacific leaders in Peru who vowed to fight protectionism.

Globalization fits well into the idea of the fourth industrial revolution, which seeks to increase productivity by automation and economies of scale, Guriev said.

'Technological progress and globalization are the same phenomenon,' he said. 'The costs of accessing global markets are falling as costs of transportation, innovation and infrastructure investment decline. On the other hand, in a globalized economy, incentives to innovate are stronger as the winners of the technological race capture larger markets and receive higher returns.'

Guriev also said China's push for global growth through such efforts as the Belt and Road Initiative is significant, and fits well with the EBRD's vision of triggering growth through infrastructure investment. The initiative refers to the infrastructure and trade program linking Asia, Europe and other areas, modeled on historical Silk Road routes.

A global lack of funds for infrastructure investment makes China's initiative all the more important, Guriev said.