China has unveiled a US$586 billion stimulus package intended to revitalize the country’s slowing economy. The government said its spending plan – which will see significant investment in infrastructure and social welfare projects over the next two years – reflected a decision to adopt an “active” fiscal policy, while monetary policy would be “moderately active.” [...]
A report by the official China Securities Journal forecasts China’s GDP growth rate in 2008 at 9.8%. The forecast growth rate is lower than the 9.9% growth rate posted in the first nine months of the year. Full-year consumer price growth is expected to hit 6.3%, up from 4.5% in the first three quarters, and [...]
Zhou Xiaochuan, governor of China’s central bank, hinted at a possible stimulus package to cushion the impact of the global financial crisis on the economy. Although he believes investment and consumption are proving resilient, Zhou told a Hong Kong television station that it may be necessary “to increase domestic demand further.” The government has already [...]
The Communist Party of China (CPC) said it has confidence in China’s economy and would work to promote domestic demand. The statement, released at the end of a four-day Central Committee meeting, said China’s overall economic situation is good, and that the country should adopt “flexible and careful macro-economic policies … step up efforts to [...]
UBS reduced its forecast for China’s GDP growth in 2009 to 8.0% from 8.8%. The bank pointed to weak global growth and forecasts of a significant US recession as reasons for the reduction, the second in less than three months for the 2009 figure. UBS China Economist Tao Wang also lowered her 2008 GDP growth [...]
Chinese Premier Wen Jiabao promised further government action to maintain steady growth and neutralize the impact of the global financial crisis on China. With policymakers concerned that inflationary pressure and slowing industrial growth will stymie China’s still rapid expansion, Wen said the government will move to prevent “large surges and troughs” in the economy. He [...]
