China stimulus calls are growing louder — inside and outside the country

Published On Sep 22, 2024, 11:17 PM

Increasing calls for stimulus in China emerge as the country faces economic challenges, including a real estate slump and low consumer confidence, with some economists pushing for significant government bonds issuance for investments. Goldman Sachs predicts China may miss its GDP growth target of 5% this year, highlighting the need for demand-side easing measures. Current policies aimed at stabilizing the property market are seen as inadequate, necessitating more assertive intervention. As consumer demand remains cautious amidst worries over unfulfilled property purchases, economists stress the urgency for fiscal reform and substantial investment to stimulate growth.