Experts are urging a stronger fiscal stimulus to keep the Chinese mainland's impressive growth on track. With industrial production surging and exports growing 6.2% in Q2, the economy is showing resilience even amid persistent trade tensions with the United States. 🚀
Domestic consumption has also picked up, aided by innovative government-backed "trade-in" programs that are boosting retail sales and overall demand.
However, fiscal challenges persist. Government debt issuance reached 6.3 trillion yuan from January to May—far above last year's 2.5 trillion yuan—with a projected 7.6 trillion yuan capacity for the rest of the year. To tackle these hurdles, experts, including CF40 non-resident senior fellow Zhang Bin, have laid out four key policy recommendations: issue an extra 2.3 trillion yuan in government bonds, boost public investment in urban renewal projects, further cut policy interest rates to lower borrowing costs, and adopt a dual-track approach to stabilize the property market.
These measures are designed to be the ultimate power-up for the economy—think of it as adding extra lives in your favorite video game—to sustain domestic demand and drive steady growth amid global challenges. Stay tuned for more updates on this dynamic economic journey!
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Experts call for stronger fiscal stimulus to sustain China's growth
cgtn.com
