China to Ramp Up Fiscal Stimulus to Boost Economic Recovery
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China to unleash fresh fiscal stimulus to support economic recovery, relying on state spending and debt issuance rather than deeper reforms.
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Some advisers recommend lifting 2024 budget deficit target above 3% of GDP to allow more bond issuance to revive economy.
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Recovery remains fragile, so policies aim to stabilize growth and meet 2023 GDP target around 5%.
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Calls growing for ambitious reforms to spur new growth engines, but near-term focus is on fiscal and monetary support.
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Major structural reforms seen as unlikely due to political environment favoring state control over market reforms.