Credit Suisse published a report stating that high-interest stocks are a popular investment theme this year. It recommended Yuexiu Real Estate (00405.HK), Agricultural Bank (01288.HK), and SAIC Motor Group (600104.SH). They are also optimistic about China Mobile (00941.HK), Harbin Electric (01133.HK), and Kweichow Moutai (600519.SH), as dividend levels are expected to increase.

The bank said that the economic downturn may cause central and local governments to encourage state-owned enterprises to increase dividends to raise government revenue or meet their budget targets because the government needs more resources to revitalize the economy. There is little incentive for private enterprises to pay more dividends.

Credit Suisse's top ten high-interest Chinese stocks (table)

SharessPredicted 2016 Dividend RateRatings

R&F Real Estate (02777.HK) outperformed the market by 8.2%

Hejing Taifu (01813.HK) outperformed the market by 7.3%

Golden World Holdings (03918.HK) outperformed the market by 7.1%

Xuhui Holdings (00884.HK) outperformed the market by 7.0%

Yuexiu Real Estate Trust (00405.HK) outperformed the market by 6.4%

Gree Electric (000651.SZ) outperformed the market by 6.8%

SAIC Motor Group (600104.SH) outperformed the market by 6.0%

Bank of Harbin (06138.HK) outperformed the market by 6.4%

Agricultural Bank (01288.HK) outperformed the market by 6.1%

Goldwind Technology (02208.HK) outperformed the market by 6.0%