China's Leaders Vow to Meet Ambitious 5% Growth Target for 2025

China's Leaders Vow to Meet Ambitious 5% Growth Target for 2025

China's leadership has reaffirmed its commitment to achieving a 5% economic growth target for 2025, as outlined by President Xi Jinping during the National People's Congress. 

Despite global trade uncertainties and new U.S. tariffs under President Trump, China aims to lower inflation to 2% and increase its deficit projection to 4% of GDP. The government plans to rely on deficit funding and initiate more stimulus measures, if required, amid concerns over local government debt.

 The central bank, led by Pan Gongsheng, will cut interest rates and infuse liquidity, particularly focusing on the tech sector's expansion, emphasizing high-tech industries like AI and green engineering. China also aims to enhance domestic consumption to boost GDP and attract foreign tourism to bolster consumer spending amidst continued tensions with the Trump administration's tariff policies.