China's institutional framework that allows markets to thrive and for government to step in where necessary has proven to provide fruitful solutions over the years, said Michele Geraci, former undersecretary of state of the Italian Ministry of Economic Development.
In a recent interview with China Global Television Network (CGTN), he attributed China's achievements over the last decades to the country's great effort invested in promoting the development of infrastructure, transport and migration from rural to urban areas.
China has been a unique example in the history of economic development of mankind, he said, adding that it has also seen rapid development in infrastructure and high-speed rail and has helped usher in advancements in artificial intelligence, 5G, and semiconductors among other advanced technologies.
"One of the key successes of China lies in its market-state balance. China manages very well to let the market forces develop when that is conducive to growth. But then, when there are problems of crisis, then China's state intervention becomes stronger and therefore manages to ring-fence problems. So this idea of socialism with Chinese characteristics, in my view, is the perfect institutional framework for the situation that we have in China. It may not work in other countries, but in China, I think, it's as good as it can get," said Geraci.
The former official also dismissed the frequent outcrying of certain Western outlets that have for years insisted that the Chinese system is unsustainable.
"Some people have been calling for [predicting] the collapse of China. There is a famous book - The Coming Collapse of China. This collapse has not happened yet. And I'm actually very confident that it will never happen because China has a mix of skills at government-level institutions that could answer to the challenges in a very effective way. The Chinese economy has many challenges but also has many solutions. This is I think what some Western analysts don't understand. They only see half of the story, the challenges, which are there, but they do not see that China has also the solution. That's why we have seen China sailed through the global financial crisis really with no problems," said Geraci.
Mix of market forces, state action serves as perfect fit for China's situation: former Italian official
Iraq has seen its aviation industry dealt a huge blow because of continued airspace closures and flight suspensions amid regional hostilities triggered by the recent Israeli-U.S. strikes on Iran.
As security concerns persist while tensions remain high, Iraq announced on Friday it would extend the closure of its airspace for one more week as uncertainty over the conflict continues to hang in the air.
It is estimated that the country's aviation industry has lost more than 43 million U.S. dollars over the past month since the crisis erupted, with the war causing huge disruption to air travel across the region.
"After the closure of Iraqi airspace, airport operations were halted, and revenue from both arriving and departing flights was lost. This includes income from passenger services as well as overflying aircraft, which has significantly impacted overall revenues," said Maytham al-Safi, director of media office of the Iraqi Ministry of Transport.
The impact is being felt across the board, from government revenues to private businesses, as some of the leading travel agencies say bookings have completely collapsed, with some reporting daily passenger numbers dropping from around 100 to just five.
"Our company has been directly affected. We have four branches and around 80 employees, and the impact has been significant. We still have rent and other expenses to cover, so we are trying to adapt to whatever limited business is still possible," said Ahmed Khalid, managing director of the Safari Trip travel and tourism company in Baghdad.
With air travel no longer an option, many Iraqis are turning to overland routes -- often traveling for hours, even days, to reach neighboring countries like Türkiye. But the journey is not only longer and more expensive, it can also be highly risky.
"This situation creates real anxiety for families. It's not only the travelers who are at risk, but also the vehicles transporting them. These journeys can be dangerous. There is always the risk of accidents or even drone strikes. At the same time, costs have doubled, so people are facing both financial and safety pressures," said Anwar al-Mousawi, a local resident.
For many, a sense of frustration is growing the longer the current situation drags on, as civilians bear the consequences of a conflict they are not part of, and with no clear timeline for reopening Iraqi airspace, economic losses and public frustration are expected to deepen.
"The reality is, we are in a country that is not part of this war and did not start it, yet we are the ones paying the price," said al-Mousawi.
Iraq's aviation industry left grounded as Middle East crisis continues
