China Prioritizes Economic Stability Amid Global Uncertainties

Leadership aims to maintain 5% growth target for 2024, despite challenges from property sector crisis and potential impact of US policies.

China's top leadership has prioritized economic stability and a revival of investor confidence for the coming year, with President Xi Jinping calling for policy continuity to consolidate recovery and improve market expectations.
China is expected to hit its 5% growth target for this year, but there is global concern about whether it can maintain strong growth in the coming years, especially given the ongoing property sector crisis and the struggle to revive consumption demand and maintain investor confidence.
China's leaders are also closely monitoring the potential impact of US Federal Reserve interest rate cuts and the upcoming US presidential race on China's economy.
Despite the uncertainties, Chinese leaders are expected to maintain a GDP growth target of around 5% for 2024, and expansionary fiscal policy could be an option after Beijing's decision to issue 1 trillion yuan worth of sovereign bonds.
Experts suggest that more reforms and opening up are the safest bet for China to navigate US economic cycles and election politics, regardless of whether US rate cuts serve as a tailwind or if the election may mean more headwinds.