In 2024, favourable conditions as well as greater chances than obstacles are anticipated for China’s economy, according to state media, which cited representatives of the finance and economy office of the Chinese Communist Party.

According to a thorough readout of the annual Central Economic Work Conference, which took place on December 11–12 and saw senior leaders outline economic goals for the upcoming year, macroeconomic policies will continue to assist economic recovery. This information was provided by the official Xinhua.

“China’s prices are low, central government debt levels are not high, and conditions are in place to strengthen implementation of monetary and fiscal policies,” Xinhua said, quoting the office of the Central Financial and Economic Affairs Commission late Sunday.

However, there are still obstacles in the way of the domestic economic cycle because business investment, consumption, and demand are still low.

China will try to move from a post-pandemic recovery to sustained consumer growth next year, according to party authorities.

The International Monetary Fund increased its growth prediction for China to 5.4% this year last month, citing a “strong” post-COVID rebound as the reason for the upgrade. A target of about 5% has been established by the administration.

The second-biggest economy in the world will also foster new sectors of consumption development, like smart homes, leisure and travel, and sporting events.

The report stated that the effects of the treasury bond issuance this year, interest rate reductions, tax and fee reductions, and other initiatives will carry over into the following year.

In addition, China would keep an eye on its damaged real estate sector and provide acceptable financing to real estate firms.

“With the concerted efforts of all parties, the policy objectives of real estate risk prevention and market stabilisation can be fully achieved,” the Xinhua report said.

(Adapted from TBSNews.net)

Categories: Economy & Finance, Geopolitics, Strategy