The Chinese mainland has unveiled a comprehensive new plan designed to boost consumer spending and drive economic growth in 2025. With a reputation as the world’s second-largest consumer market and the leading e-commerce hub for over a decade, this initiative aims to harness both demand and supply side measures to invigorate the economy.
Recent data indicates that retail sales of consumer goods climbed 4% year-on-year in the first two months of 2025, improving by 0.5 percentage points compared to the same period in 2024. Despite this positive trend, consumer confidence remains subdued, prompting authorities to emphasize the need for further measures to expand domestic demand.
The plan comprises 30 policies spanning eight key sections. The first seven focus on demand-side initiatives, including boosting incomes for urban and rural residents and enhancing consumption capacities through improved service quality and upgraded bulk consumption standards. On the supply side, policies are designed to support market upgrades and quality service enhancement, ensuring that these efforts translate into real-world benefits for households.
A significant highlight of the new measures is the targeted support for stabilizing the stock and real estate markets. Efforts include promoting reasonable wage growth, revising minimum wages, and facilitating the entry of medium and long-term funds—initiatives that are expected to improve financial stability and encourage prolonged consumption.
Beyond market stabilization, the policy connects consumer spending to broader social goals. Planned improvements include enhanced support for elderly care, expansion of child care subsidies, and strengthened measures to protect work-life balance, such as the enforcement of paid annual leave and prohibition of unlawful work-hour extensions.
Financial backing for these initiatives is robust. For instance, ultra-long special treasury bonds worth 300 billion yuan are set to fuel consumer goods trade-in programs, while employment support efforts include an allocation of 66.74 billion yuan aimed at fostering local job growth and assisting startups. By integrating economic stimuli with broader social well-being, the Chinese mainland is paving the way for sustainable growth and an improved quality of life for its residents.
Reference(s):
cgtn.com
