A research report released recently by UBS recognized the innovation development of China in past five years, and predicts that China will become a global innovation powerhouse thanks to improved education quality, input in research and development and policy support to innovation, Economic Daily reported.

Input in research and development in China today takes up more share of GDP than the UK. Meanwhile, the government has stipulated the goal in the 13th Five-Year Plan that the ratio of R&D input in GDP must reach 2.5 percent by 2020. Therefore, UBS predicts that China is likely to surpass the U.S. in terms of the overall scale of research and development investment by 2019.

UBS emphasizes the superiority that China has in exploring AI and fintech and in their view, Chinese enterprises have played a critical role in guiding the direction of global technology development. Its particular advantage in AI can possibly enable China to revolutionize the manufacture industry in respect of technology.