Bain Sees Tough Year for China’s Private Equity Market

China’s private equity market may lose momentum after years of superheated growth as global investors are increasingly concerned about the country’s slowing economic growth and increasing investment risk, U.S. consulting firm Bain & Co. said in a report.

Rising geopolitical tensions and tighter industry regulations cast a cloud over the Greater China region’s initial public offering (IPO) market in the second half of 2021. The value of IPOs dropped 50% in the second half from a year earlier, according to the report.