EconomyLens.com
No Result
View All Result
Friday, July 4, 2025
  • Home
  • Economy
  • Business
  • Markets
  • Tech
  • Editorials
EconomyLens.com
  • Home
  • Economy
  • Business
  • Markets
  • Tech
  • Editorials
No Result
View All Result
EconomyLens.com
No Result
View All Result
Home Other

China set to post sluggish growth as doldrums deepen

Thomas Barnes by Thomas Barnes
January 16, 2025
in Other
Reading Time: 6 mins read
A A
1
32
SHARES
401
VIEWS
Share on FacebookShare on Twitter

Beijing has in recent months announced its most aggressive support measures in years, battling headwinds that include a prolonged property market debt crisis and sluggish consumer spending. ©AFP

Beijing (AFP) – China is set on Friday to post some of its weakest growth in decades, as leaders grapple with economic doldrums and nervously eye a potential trade standoff with incoming US President Donald Trump. Beijing in recent months announced its most aggressive support measures in years, battling headwinds that include a prolonged property market debt crisis and sluggish consumer spending.

Related

As US stocks hit records, experts see the dollar falling further

UN expert says firms ‘profiting’ from ‘genocide’ of Palestinians

Hidden gem: Angola opens up to tourists in a pivot from oil

Stocks climb as strong US jobs data soothes growth worries

UK’s Starmer backs finance minister after tears in parliament

But a survey of analysts by AFP estimated economic growth in the world’s number two economy reached 4.9 percent last year — down from the 5.2 percent recorded in 2023. The increase would be the lowest recorded by China since 1990, excluding the financially tumultuous years of the Covid-19 pandemic. That growth could fall to just 4.4 percent in 2025 and even drop below four percent the following year, the survey showed.

China has so far failed to achieve a highly anticipated rebound from the pandemic, with domestic spending remaining mired in a slump and indebted local governments dragging on total growth. In a rare bright spot, official data showed earlier this week that China’s exports reached a historic high last year. But gathering storm clouds over the country’s trade outlook in the year ahead mean that Beijing may not be able to count on exports to boost an otherwise lacklustre economy.

Trump has promised to unleash biting sanctions on China during a second term due to begin next week, accusing Beijing of unfair trade practices and contributing to a devastating fentanyl crisis in the United States. Beijing has introduced a series of measures in recent months to bolster the economy, including key interest rate cuts, easing local government debt, and expanding subsidy programs for household goods.

– Confidence ‘crisis’ – Observers will be closely watching Friday’s data release — which will also include readings covering the final quarter of last year — for signs that those measures succeeded in reviving activity. China’s central bank has indicated in recent weeks that 2025 will see it implement further rate cuts, part of a key shift characterised by a “moderately loose” monetary policy stance.

But analysts warn that more efforts are needed to boost domestic consumption as the outlook for Chinese exports becomes more uncertain. “Monetary policy support alone is unlikely to right the economy,” Harry Murphy Cruise from Moody’s Analytics told AFP. “China is suffering from a crisis of confidence, not one of credit; families and firms do not have the confidence in the economy to warrant borrowing, regardless of how cheap it is to do so,” he wrote. “To that end, fiscal supports are needed to grease the economy’s wheels.”

One component of Beijing’s newest policy toolbox is a subsidy scheme — now expanded to include more household items including rice cookers and microwave ovens — that it hopes will encourage spending. But recent data show that government efforts have not yet achieved a full rebound in consumer activity.

China narrowly avoided a slip into deflation in December, statistics authorities said last week, with prices rising at their slowest pace in nine months. China emerged from a four-month period of deflation in February, a month after suffering the sharpest fall in prices for 14 years. Deflation can pose a threat to the broader economy as consumers tend to postpone purchases under such conditions, hoping for further reductions.

© 2024 AFP

Tags: Chinaeconomic growthtrade
Share13Tweet8Share2Pin3Send
Previous Post

Insurance access for US homeowners with higher climate risks declines

Next Post

EU’s ex-tech chief joins Bank of America as advisor

Thomas Barnes

Thomas Barnes

Related Posts

Other

Tesla reports lower car sales, extending slump

July 3, 2025
Other

US-Vietnam trade deal sows new China standoff

July 3, 2025
Other

Stocks rise, dollar dips ahead of US jobs data

July 3, 2025
Other

In US capital, Trump tariffs bite into restaurant profits

July 3, 2025
Other

US stocks back at records as oil prices rally

July 3, 2025
Other

US senator urges bribery probe over Trump-Paramount settlement

July 3, 2025
Next Post

EU's ex-tech chief joins Bank of America as advisor

S.Africa rescuers say clearance of clandestine miners now over

Music industry girds for looming US TikTok ban

Music industry girds for looming US TikTok ban

0 0 votes
Article Rating
Subscribe
Notify of
guest
guest
1 Comment
Oldest
Newest Most Voted
Inline Feedbacks
View all comments
  • Trending
  • Comments
  • Latest

New York ruling deals Trump business a major blow

September 30, 2024

Elon Musk’s X fights Australian watchdog over church stabbing posts

April 21, 2024

Women journalists bear the brunt of cyberbullying

April 22, 2024

France probes TotalEnergies over 2021 Mozambique attack

May 6, 2024

Ghanaian finance ministry warns against fallout from anti-LGBTQ law

74

New York ruling deals Trump business a major blow

72

Shady bleaching jabs fuel health fears, scams in W. Africa

71

Stock markets waver, oil prices edge up

65

Rio to host BRICS summit wary of Trump

July 4, 2025

Trump to sign ‘big, beautiful’ bill on US Independence Day

July 4, 2025

Trump wins ‘phenomenal’ victory as Congress passes flagship bill

July 4, 2025

As US stocks hit records, experts see the dollar falling further

July 4, 2025
EconomyLens Logo

We bring the world economy to you. Get the latest news and insights on the global economy, from trade and finance to technology and innovation.

Pages

  • Home
  • About Us
  • Privacy Policy
  • Contact Us

Categories

  • Business
  • Economy
  • Markets
  • Tech
  • Editorials

Network

  • Coolinarco.com
  • CasualSelf.com
  • Fit.CasualSelf.com
  • Sport.CasualSelf.com
  • SportBeep.com
  • MachinaSphere.com
  • MagnifyPost.com
  • TodayAiNews.com
  • VideosArena.com
© 2025 EconomyLens.com - Top economic news from around the world.
No Result
View All Result
  • Home
  • Economy
  • Business
  • Markets
  • Tech
  • Editorials

© 2024 EconomyLens.com - Top economic news from around the world.