New Delhi, Aug 1 (IANS) Leaders in China have stressed need to strengthen economy which is stumbling amid weak consumer spending, high youth unemployment and a weakening stock market, according to a new report.
The New York Times report that China’s Communist Party leadership has urged the government to pursue more proactive tax and spending policies, while tackling joblessness.
“Politburo statements rarely detail specific policy measures, instead setting the broad direction for government action,” said the report. The Politburo said it would “fully leverage the effectiveness of existing policies, promptly plan and introduce practical and effective incremental policies.”
The discussions came as China’s domestic economy has faltered. Data showed that economic growth in the second quarter is at its slowest in more than three years at 4.3 per cent.
China’s industrial profits stood at 15.1 per cent in June from the previous year, data from the National Bureau of Statistics (NBS) showed, pointing to a two‑month slowdown as easing energy costs trimmed the price gains that helped drive a rebound earlier this year.
The June deceleration followed a 21.1 per cent gain in May, the first slowdown since November, reports said. The reflationary boost showed signs of weakening, as price recovery was largely driven by surging global energy costs, while domestic demand lags, according to experts.
Beijing may refrain from forceful action due to resilient exports and its focus on curbing excess factory capacity, economists said, forecasting a stronger easing language, with low expectations for a large stimulus package.
Meanwhile, officials said that China’s steady first-half growth in 2026 underscored the resilience of the world’s second-largest economy and the growing role of new growth drivers as it embarked on a new five-year development period, reports Xinhua news agency.
Despite mounting external uncertainties, the country’s gross domestic product (GDP) grew 4.7 per cent year on year to 69.6 trillion yuan (about 10.25 trillion US dollars) in the first half of 2026, according to the NBS.
–IANS
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