(Yicai Global) Jan. 11 -- Overseas investors will put about CNY300 billion (USD47.1 billion) into Chinese mainland stocks this year as the country’s real gross domestic product expands 5.4 percent, according to UBS.

The Swiss investment bank’s forecast for China’s GDP growth in 2022 is a little higher than the market consensus. UBS made the predictions based on expectations that the country will ease travel restrictions in the second quarter after effectively controlling Covid-19.

In the past three years, foreign investors have been very active in the A-share market, UBS analyst Meng Lei said at the bank’s 22nd China conference yesterday when referring to the stocks listed on mainland bourses.

Fang Dongming, head of UBS China’s Global Financial Markets Department, also noted that despite great uncertainty in geopolitics and some industry policies in 2021, foreign investors still invested in A-shares, and this will continue to do so in the future.

Meng also said that property sales are expected to decline by about 10 percent from last year. Real estate investment may fall 5 percent, while the auto and home appliance industries, which are closely related to real estate, will also be affected.

Due to the government’s stable growth policy, amid an economic slowdown, the rate of expansion in China’s consumer sector will greatly exceed the overall market, Meng said, adding that high-end manufacturers, new energy and some traditional consumer goods suppliers have benefited from the policy.

Editor: Peter Thomas