The chief economist of Morgan Stanley, the largest US based securities firm, says it will be a huge mistake to turn negative on China because of SARS. The deadly disease may be a blight on China now, but it could also be a blessing in disguise.

Stephen Roach says the new Chinese leadership of President Hu Jintao and Premier Wen Jiabao seemed to have risen to the occasion, demonstrating their new and independent leadership.

He noted transparency was now the credo in guiding the government's response to SARS, and it could be applicable in dealing with other aspects of Chinese activity.

Touching on the Chinese economy, Roach says SARS' impact on the economy had already prompted Morgan Stanley to cut its 2003 growth estimate to 6 and a half percent from its earlier projection of 7 percent.

(Cri.com May 16, 2003)