Annual Report 2025

INVESTMENT MANAGER’S DISCUSSION AND ANALYSIS (CONTINUED) 34 China Merchants China Direct Investments Limited Annual Report 2025 REVIEW OF INVESTMENTS (CONTINUED) Since the first implantation of the world’s first minimally invasive brain-computer interface system (NEO), independently developed by Neuracle Technology using epidural implantation and wireless transmission design, was completed at Xuanwu Hospital in October 2023, feasibility trials have been successively implemented at Tiantan Hospital, Huashan Hospital, and Jiangsu Provincial People’s Hospital and have achieved remarkable results. In August 2024, NEO officially entered the special review channel of innovative medical devices of the National Medical Products Administration, laying an institutional foundation for clinical registration trials. In December 2025, the NEO Wireless Minimally Invasive Implantable Brain-Computer Interface Multicenter GCP Registration Clinical Trial Summary Meeting was successfully held during the 2025 Brain-Computer Interface Conference hosted by the Brain-Computer Interface Industry Alliance. PROSPECTS In 2025, global economic growth was resilient enough to withstand a series of shocks but remained below its pre- coronavirus pandemic average due to risen trade tensions, higher policy uncertainty, and non-diminished geopolitical risks. The World Economic Situation and Prospects 2026, released by the United Nations, notes that stabilized inflation and ongoing flexible monetary policies adopted in many economies could provide a modest boost to global economic activity in 2026. However, a considerable degree of uncertainty persists, with risks stemming from rising trade barriers, increased fiscal pressures, and fluctuating borrowing costs in many parts of the world. According to the latest forecast of the International Monetary Fund (IMF), global economic growth will remain at 3.3% in 2026. Specifically, advanced economies will grow by about 1.8%, while emerging markets and developing economies will grow by about 4.2%. Nevertheless, China’s 2025 macro data showed that the national economy was generally stable and showing signs of steady progress, with many advances in high-quality economic development, especially the timely deployment of a package of incremental policies, which effectively boosted social confidence and led to a significant rebound in the economy. 2026 is the beginning year for implementation of the “15th Five-Year” plan, and China’s overall economic growth is expected to stabilize and to show continued progress in 2026 as well. It is expected that the operating results of the investment projects (mainly operating in China) held by the Fund may continue to improve.