2024.07.08

• China

What will it take for China to regain market confidence? by Tomoyuki Fukumoto(Geoeconomic Briefing)

China’s growth rate of 5.3% in the first quarter of this year may have beaten expectations, but the country’s leader Xi Jinping continues to struggle with overall economic management. Many once thought that it was only a matter of time before China’s economy overtook that of the United States, but the post-pandemic slowdown has raised doubts about this trajectory. China is facing a prolonged real estate recession, hidden local debt problems and low business and household confidence as well as concerns about deflation and overcapacity.