Posted 1/25/2024, 6:30:14 AM
Lunar New Year spending spike masks China's economic challenges
- Lunar New Year travel surge expected to provide only short-term economic boost; sectors like property and private firms remain top priority
- Catering and transport contributed strongly to 2023 growth, but low base effects mean repeat performance in 2024 unlikely
- Property sector crisis and struggling private firms/SMEs are biggest drags on growth
- Local governments have limited ability to stimulate economy due to debt burdens
- Global economic weakness means export sector unlikely to drive 2024 growth