China unveils stimulus package to boost struggling economy

China has unveiled a massive stimulus package that will inject around one trillion yuan or more than US$140 billion of “long-term liquidity” into the financial market. The slew of measures includes cuts to the reserve requirement ratio and mortgage rate for existing housing, as well as tools to support the stock market. This is as China continues to face weak domestic demand and a flagging housing market, all while trying to hit this year’s GDP growth target of around five per cent. CNA’s Tan Si Hui with this report.

21 Comments

  1. I wouldn't say China's principle has been just changed (big stimulus package for economy). It's just that the world economy is becoming worse than expected, so China adapts to the new conditions.

  2. China's property sector, which accounts for 30% of GDP, is crashing.
    – Exports and imports, accounting for 37% GDP, are down.
    – Foreign investment (FDI) is falling over 90%, lowest in 3 decades.
    – Foreign visitors are down 96% compared to the pre-pandemic level in 2019.
    – Consumer prices are experiencing deflation.
    – Youth unemployment hits over 21%, a record.
    – Its fast-shrinking workforce is 10 years older than neighboring countries.
    Still, China keeps reporting outrageous GDP numbers. Lol
    Where does the growth come from?

  3. <<From $37K to $65K that's the minimum range of profit return every month I think it's not a bad one for me, now I have enough to pay bills and take care of my family.

  4. What this means stimulus, injecting is investing into Any Chinese Business?
    "Boost Economy"(About Life Experiences and Trade Smoothness?) – What is Done in Buying "Stimulus Package". If Singapore's Smoothness, Maybe Alot of Rice Farm Automatically Making Alot of Flour, How is This Idea About Opening the "Silk Road" And Sudden Lots of Spices? At Start will definitely have Alot of Bandits Then(Should Just Tell Them About Japanese I Think).

  5. According to the IMF, China is already the largest GDP of the world. This year, China is expected to contribute to over 30% of the global GDP growth when the US is expected to contribute less than 16%.

    But the recipients of the $1.6 billion anti China fund will tell us that China has problems left right and centre and the country is in intensive care. If China is struggling, the rest of the major economies are gone.

  6. Jai Hind. If Xi makes too aggressive stimulus like negative rate, the Chinese economy could turn into another Japanese-like zombie with foreign hedgefunds borrowing cheap yuan for their lucrative carry trades.

  7. I've been quite unsure about investing in this current market and at the same time I feel it's the best time to get started on the market. i was at a seminar and the host spoke about making well over $3.5M within a short period of time investing in Cryptocurrency. i need to know what coin to buy….