China isn't the only one facing a "new normal", according to the head of China's sovereign wealth fund, who tips a period of weak growth, divergence and instability for the global economy.
"China says its economy has entered a 'new normal'. I think the same can be applied to the world economy," Ding Xuedong, chairman and CEO of China Investment Corporation, the world's fourth-largest sovereign wealth fund, told CNBC on the sidelines of the annual World Economic Forum in Davos, Switzerland.
"Weak growth refers to the weak momentum we have in global economic recovery. Divergence is about the widening differences in economic performance and policies around the world," he said. "[And] instability refers to geopolitical events, such as the conflicts between Russia and Ukraine, as well as terrorists attacks and environmental disasters that happen quite frequently these days."
Economic forecasters have been paring back expectations for global growth in 2015, reflecting multiple headwinds.
Earlier this month, the World Bank lowered its global growth forecast to 3 percent from the 3.4 percent forecast made in June, warning that the world economy is overly dependent on the single engine of the U.S. recovery.