Billionaire Mark Mobius has revealed he cannot withdraw money from China

The billionaire investor Marc Mobius said FOX Business that you can’t get your money out of china due to country capital controlsthere He warned investors to be “very, very careful” when investing in an economy under tight government control.

“I have an account with HSBC in Shanghai. I cannot withdraw my money. The government restricts the flow of money out of the countrysaid Mobius, founder of Mobius Capital Partners, for FOX Business in an interview published March 2.

“I can’t get them to explain why they’re doing this and they put up all kinds of obstacles. They don’t say, “No, you can’t get your money out. But they say, ‘Give us all the 20-year records of how you made that money.’ It’s crazy,” he added.

Mobius’ comments circulated on Chinese social network WeChat over the weekend.

Mobius led the emerging markets investments of Franklin Templeton Investments for three decades and he was known for his optimistic view of China. Now, however, he says, “I would be very, very careful” investing in the country.

“The conclusion is that China is heading in a completely different direction than Deng Xiaoping set when he launched the grand reform program.”he said, referring to the former Chinese leader.

“Now you have a government taking gold shares in companies all over China. That means They will try to control all these companies (…) So I don’t think it’s a very good picture when you see that the government is more and more oriented towards controlling the economy”.

Mobius, which calls itself “the Indiana Jones of emerging market investing,” said FOX Business which is increasing its exposure to alternative markets such as India and Brazil.

China announced on Sunday that its military budget increase 7.2% in 2023, according to a report which will take stock in the coming days of National People’s Congresswhich opened its annual session this Sunday.

The Asian giant plans to spend 1.5 trillion yuan ($225,000 million) for his defense. “Increased defense spending is necessary to meet complex security challenges. It is also necessary (for China) to fulfill its obligations” as a great power, he said. Wang Chaospokesperson for the National People’s Assembly.

Premier Li asked in his address to lawmakers on Sunday. “step up” army training as good as combat readiness” and “innovating in terms of strategic orientations”.

Beijing has set an economic growth target of “approximately 5%for this year, according to the government action report read this Sunday by the outgoing Prime Minister, Li Keqiangat the inauguration of the annual session of parliament.

With information from Reuters

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