Analysts say bold measures worth several trillion yuan are needed to revitalize the world’s second-largest economy, which has not fully recovered from the Covid-19 pandemic.
The bank eased Chinese Central Bank Restrictions on borrowing were imposed in late September, which led to a market rally StocksBut economists say the government needs to do more to spark a sustainable recovery.
Government officials have indicated that this may be achieved during a meeting of the Standing Committee of the National People’s Congress this week, which must give formal approval for any new spending.
And it was Kristalina Georgieva Director International Monetary Fund It warned last month that China’s annual economic growth could fall to “well below” four percent if Beijing does not implement reforms to increase domestic consumption.
Georgieva added in a press briefing during the annual meetings of the International Monetary Fund in Washington that the biggest obstacle to improving consumer confidence in China is the sector. Real estate problem and that steps must be taken to address it.
It is worth noting that Chinese economy It was the slowest pace of growth in the third quarter since early 2023, as it grew by 4.6 percent in the period from July to September, slightly exceeding analysts’ expectations in a Reuters poll of 4.5 percent growth, but growth was slowing from a pace that reached 4.7 percent in the second quarter of 2024.