As global markets brace for economic uncertainty, China projects confidence in maintaining robust growth through 2025, leveraging industrial upgrades and policy innovation. The announcement comes ahead of March's pivotal Two Sessions meetings, where Beijing will outline its economic blueprint for the final year of the 14th Five-Year Plan.
Drivers of Resilience
China's 2024 performance set the stage: GDP expanded 5% to $17.8 trillion, while high-tech manufacturing surged 8.9% – outpacing overall industrial growth. Exports defied headwinds with a 7.1% increase, driven by sectors like EVs and semiconductors. Provinces including Guangdong and Zhejiang have since set 2025 growth targets between 5% and 5.5%, signaling regional optimism.
Policy Playbook
Recent measures include 10 trillion yuan ($1.4 trillion) in fiscal support and interest rate cuts to stimulate consumption. The strategy appears effective: Q4 2024 retail sales jumped 3.8%, while Spring Festival tourism and box office revenues hit record highs. \"The focus on upgrading industrial chains while expanding domestic demand creates a balanced growth model,\" noted BNP Paribas economist Jacqueline Rong.
Global Confidence
The IMF and World Bank have raised their 2025 forecasts for China, citing its market scale and reform momentum. As Michael Borchmann, former German state official, observed: \"China's ability to maintain high-quality growth while navigating global challenges underscores its economic adaptability.\" With 1.4 billion consumers and advancing tech sectors, the stage is set for Beijing's next policy moves to resonate globally.
Reference(s):
China's confidence in steady economic growth for 2025: Key factors
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