China Advisers Urge $209 Billion Stimulus to Counter US Tariffs
China Advisers Urge $209 Billion Stimulus to Counter US Tariffs

China Advisers Urge $209 Billion Stimulus to Counter US Tariffs

News summary

A group of prominent Chinese economists, including Huang Yiping, a member of the People’s Bank of China (PBOC) monetary policy committee, recommends that China implement a substantial stimulus package of up to 1.5 trillion yuan ($209 billion) over the next year to boost consumer spending and maintain currency flexibility amid economic pressures. These pressures include the impact of recent U.S. tariffs ranging from 20% to 30%, ongoing deflation, a weak property market, and reduced exports. The experts urge a stronger counter-cyclical policy approach combined with structural reforms, including possible tax reforms and monetary easing such as cutting policy rates and guiding banks to lower loan prime rates. The stimulus proposal far exceeds the 300 billion yuan currently planned from ultra-long sovereign bonds to subsidize consumer spending. They emphasize maintaining sufficient flexibility in monetary policy to counteract external shocks and stabilize growth. Concerns also focus on small business loans, which now exceed 60% of GDP, posing significant financial risks, underscoring the urgency for fiscal intervention.

Story Coverage
Bias Distribution
100% Left
Information Sources
71639883-fbbd-48af-8cc3-393f63e7b2efdaae85f0-2883-42fc-b085-888140adf30d
Left 100%
Coverage Details
Total News Sources
2
Left
2
Center
0
Right
0
Unrated
0
Last Updated
8 hours ago
Bias Distribution
100% Left
Related News
Daily Index

Negative

24Serious

Neutral

Optimistic

Positive

Ask VT AI
Story Coverage

Related Topics

Subscribe

Stay in the know

Get the latest news, exclusive insights, and curated content delivered straight to your inbox.

Present

Gift Subscriptions

The perfect gift for understanding
news from all angles.

Related News
Recommended News