China’s government on Saturday unveiled its priorities for stimulating consumer spending as weak domestic demand continues to drag on economic growth.
China’s cabinet, the State Council, has specified 20 key steps, including exploring the possibility of expanding basic consumption in areas such as catering, home services and elderly care, the report said. statement It was published on the central government website.
Authorities also aim to promote new types of spending, foster unmanned retail stores and self-pickup lockers, and support the development of e-sports and live-streaming e-commerce.
The Communist Party pledged in July to make boosting consumption a policy focus at its second plenary session every 10 years on long-term reforms.
Data released in July showed China’s economic growth unexpectedly slowed to its worst pace in five quarters, with weak consumption hurting strong exports, sparking calls for policymakers to unleash government support to help Beijing meet its target of about 5% annual growth in 2024.
Under the framework announced on Saturday, the government will provide increased financial support to eligible small and medium-sized enterprises in the service industry and provide additional personal income tax deductions to cover the costs of raising infants and children under three, education expenses, and support for the elderly.
Beijing also plans to encourage the development of new leisure tourism sectors, including cruise ships, yachts and “low-altitude flights.”
Authorities will step up credit support for key areas of service consumption and increase the supply of financial products to meet the development needs of new consumption patterns such as the sharing economy, according to the statement.
https://fortune.com/2024/08/04/china-economy-cruise-ships-tourism-yachts-esports-low-altitude-flying-consumer-spending/
