In the last 30 days, China has implemented a series of stimulus measures, marking a significant shift from a period of subdued activity. These actions have created a ripple effect in global markets and raised expectations for further interventions to boost the world’s second-largest economy.
Analysts interpret these swift moves as a signal that the Chinese leadership is reconsidering the necessity of a stimulus package akin to 2008’s massive injection of 4 trillion yuan ($564.7 billion) during the global financial crisis.
As speculation continues about the potential size of the stimulus, we explore the evolution of China’s response, its current impact, and the possible future measures on the horizon.
Key Updates:
September 26: President Xi Jinping called for reviving real estate, consumption, and capital markets during a Politburo meeting.
October 8: The National Development and Reform Commission announced plans to advance fiscal budget funds and support select projects with funding.