China Plans Fiscal and Monetary Expansion to Bolster Economy
Facing internal economic challenges and potential U.S. tariff hikes under Trump, Beijing outlines measures to boost domestic demand and stabilize growth.
- China's Central Economic Work Conference concluded with pledges to raise the fiscal deficit and issue more government bonds to stimulate the economy in 2025.
- Leaders emphasized a shift toward 'moderately loose' monetary policy, including interest rate cuts and reduced bank reserve requirements, to encourage investment and spending.
- The government aims to strengthen domestic consumption by increasing household incomes, expanding subsidies, and addressing weak consumer demand caused by falling property prices and job market challenges.
- Stabilizing the struggling property sector remains a priority, with measures to support housing purchases and address local government debt issues tied to the real estate crisis.
- China's economic policies are also being shaped by uncertainties around U.S. trade relations, with potential new tariffs posing risks to export-driven growth.
Deutsche Welle 
South China Morning Post 
Semafor 
Associated Press 
The Japan Times 
CNA 
Newsweek 
CNN 
CNBC 