AUD: Li: Low inflation, debt allow for expanded macro policy
China Premier Li Qiang said at China economic Development Forum, China have low inflation, Low Government Debt burden. We focus on Local domestic demand boosting, then we give equal access on Domestic and Foreign demand. We issue Long term special bonds for injection of Stimulus to economy. We look at serious on Property issues and prevent risks on property issues in future. We need to do changes in Macro Policy settings to improve our economy to previous growth.
AUDUSD is moving in Descending Triangle and market has reached support area of the pattern
Premier Li Qiang, speaking at the China Development Forum in Beijing, highlighted China’s low inflation and central government debt, suggesting ample room for further macro policy adjustments, according to Reuters.
Key points from his speech include:
– Focus on boosting domestic demand.
– Equal treatment for domestic and foreign businesses in policies aimed at stimulating domestic demand.
– Emphasis on ample room for macro policy due to low inflation and government debt.
– Commitment to enhancing market access, supply-demand balance, and cross-border data flows.
– Announcement of issuing 1 trillion yuan ultralong special treasury bonds to stimulate investment and stabilize economic growth.
– Recognition of effective measures to manage property and debt risks.
– Pledge to prevent systemic risks and promote long-term, healthy economic development in China.
AUD: China Faces ‘Fork in the Road’ as Officials Meet CEOs
China Premier Li Qiang said at China economic Development Forum, China have low inflation, Low Government Debt burden. We focus on Local domestic demand boosting, then we give equal access on Domestic and Foreign demand. We issue Long term special bonds for injection of Stimulus to economy. We look at serious on Property issues and prevent risks on property issues in future. We need to do changes in Macro Policy settings to improve our economy to previous growth.
AUDUSD is moving in Ascending channel and market has reached higher low area of the channel
The International Monetary Fund (IMF) has called upon China to embark on a significant overhaul of its economic policies in order to effectively address the challenges posed by its property market crisis and to foster greater domestic consumption and productivity. Managing Director Kristalina Georgieva delivered this message during her address at the China Development Forum, where she underscored the critical juncture at which China finds itself. She emphasized the necessity for China to make a fundamental choice: either adhere to the strategies that have proven successful in the past or chart a new course that aligns with the imperatives of a new era characterized by high-quality growth.
Georgieva’s remarks were directed towards a distinguished audience comprising senior Chinese officials and executives from multinational corporations. At the heart of her message was the assertion that a departure from traditional economic approaches in favor of a consumer-centric policy framework could yield substantial benefits. Specifically, she cited the IMF’s analysis, which suggests that such an approach could inject a staggering $3.5 trillion into China’s economy over the course of the next 15 years. This potential windfall, she explained, hinges upon the implementation of decisive measures aimed at addressing critical issues, such as the completion of stalled housing projects and the mitigation of risks associated with local government debt.
Despite Georgieva’s compelling arguments, the response from Chinese officials fell short of endorsing sweeping reforms. While expressing confidence in the nation’s ability to achieve its economic targets, including a projected 5% growth rate for the current year, officials stopped shy of fully embracing the IMF’s recommendations. This hesitance underscores the complexity of the challenges facing China and the nuanced considerations involved in crafting and implementing economic policies.
Georgieva’s address comes at a time when China is actively seeking to bolster foreign investment, as evidenced by recent declines in investment flows into the country. Apple CEO Tim Cook, a prominent figure at the event, commended China’s commitment to openness and announced plans for the company’s products in the Chinese market. Similarly, other executives reiterated their steadfast dedication to China despite broader shifts in global supply chains. The presence of over 100 overseas executives at the China Development Forum underscores the significance of China’s efforts to attract foreign investment and stimulate economic growth.
In response to concerns about declining investment, China’s leadership has unveiled a series of measures designed to enhance market access and incentivize investment in emerging sectors. Notably, Premier Li emphasized the government’s $140-billion plan to issue ultra-long bonds as a means of fostering investment and stabilizing economic growth. Additionally, officials highlighted President Xi’s commitment to driving investment in “new productive forces,” which encompass industries such as networked electric vehicles, spaceflight, and advanced drug development.
In summary, Georgieva’s address at the China Development Forum serves as a poignant reminder of the pressing need for China to recalibrate its economic strategies in order to navigate the challenges of the present while laying the groundwork for sustained growth in the future. The deliberations and initiatives emerging from this forum reflect China’s proactive stance in addressing these challenges and its ongoing efforts to position itself as an attractive destination for foreign investment and innovation.
AUD: Premier Li’s Keynote Address at China Development Forum
China Premier Li Qiang said at China economic Development Forum, China have low inflation, Low Government Debt burden. We focus on Local domestic demand boosting, then we give equal access on Domestic and Foreign demand. We issue Long term special bonds for injection of Stimulus to economy. We look at serious on Property issues and prevent risks on property issues in future. We need to do changes in Macro Policy settings to improve our economy to previous growth.
Premier Li Addresses China Development Forum 2024
Premier Li Qiang delivered a keynote speech at the opening ceremony of the China Development Forum 2024 in Beijing on Sunday. The forum, scheduled for March 24th and 25th, focuses on the theme “The Continuous Development of China,” reflecting the collective aspirations for sustained, stable, and high-quality economic growth, according to Li.
Highlighting China’s achievements in meeting its economic and social development targets in 2023, Li emphasized the nation’s robust economic fundamentals and pledged to further intensify macro-policy adjustments. He outlined plans to bolster domestic demand, promote people-centered urbanization, and advance equipment renewal and trade-ins of durable consumer goods.
Li underscored the government’s commitment to supporting enterprises, emphasizing a market-oriented approach and enhanced services. He noted ongoing efforts to improve services and establish regular communication channels with businesses since last year.
In line with China’s aim to contribute positively to global economic recovery and stability, Li reiterated the nation’s dedication to high-quality development. He outlined strategies to foster a world-class business environment, enhance institutional openness, and promote industrial innovation through scientific and technological advancement and green transformation.
Emphasizing China’s readiness to share development opportunities with the world, Li expressed a commitment to collaborative efforts for mutual growth.
The opening ceremony drew around 400 participants, including domestic and international experts, entrepreneurs, government officials, and representatives from international organizations. Hosted by the Development Research Center of the State Council, the forum serves as a platform for constructive dialogue on economic development and policy.
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