China slipped into deflation in 2023 as a result of weak domestic demand and a struggling property market.
China has announced plans to ramp up government debt issuance in a bid to boost its economy.
In a press briefing in Beijing on Saturday, China’s minister of finance Lan Fo’an outlined a new package of fiscal policy measures designed to help local governments tackle debt problems, spur the property market, and replenish banks’ capital.
« We will increase support for local governments in resolving government debt risks, increase debt limits on a larger scale, and support local governments in resolving hidden debts », he said.
