Jing Ulrich, managing director and vice-chairman, Asia Pacific, at JP Morgan Chase & Co.

If China and India - the world's two largest emerging markets - strengthen their overall relationship, it'll rejuvenate the entire Asian region, yielding multilateral benefits, according to Jing Ulrich, managing director and vice-chairman, Asia Pacific, at JPMorgan Chase & Co.

In an interview with China Daily on the sidelines of the Asia Leadership Roundtable on Tuesday, she explained that both countries have been stepping up their ties in recent years, adding that bilateral trade has gone up dramatically in the past decade.

In 2005, bilateral trade was $19 billion but soared to $72 billion a decade later. Investments from the Chinese mainland to India had also surged significantly - from $11 million in 2005 to $705 million in 2015.

Ulrich pointed out there're three aspects in which China and India can further their cooperation - in infrastructure, technology and services, including tourism, entertainment and education - adding that the China-led Belt and Road Initiative will help India upgrade its infrastructure as India's investments in infrastructure have been lacking due to a shortage of funds and the slow approval process.

However, she warned that given a lot of uncertainties arising from the incoming Donald Trump presidency, as well as geopolitical factors worldwide, relations between China and India will become much more complex and challenging.

She added that, for China, there are potential threats to its exports but, for India, trade would not be affected to a great extent, while numerous Indian IT professionals currently working in the United States, as well as American and Indian software companies, might be impacted if the US changes its visa policy.

Ulrich said China and India also share similarities and differences in their economies. "The size, economic growth rate and model of the Chinese and Indian economies are different."

According to Ulrich, China's GDP, which amounts to $11.4 trillion, is five times more than India's GDP of $2.3 trillion. China's GDP growth rate in 2017 is expected to be 6.5 percent, versus India's 7.2 percent. India's growth is the highest among the world's major economies and is expected to continue its strong momentum this year as the Indian central bank is likely to ease its monetary policies to loosen liquidity in the market, thus driving up consumption.

In addition, India's manufacturing is not as developed as China's, but India's internet technology services are among the world's most competitive, and India's personal consumption is strong.

Ulrich noted that China's economic growth has been driven by investments and infrastructure development in the past few years. But, the services sector is playing an increasingly important role in driving future growth, and she expects the Chinese mainland's GDP growth in 2017 to be relatively stable at around 6.5 percent.

China's growth, however, will be slightly weaker compared to last year due to overcapacity reduction in some traditional industries, adjustments in the property sector, and a host of global geopolitical uncertainties.

tingduan@chinadailyhk.com

(HK Edition 01/18/2017 page9)