What will be xi’s next move to steer the economy?
Xi is trying to steer the economy better by boosting domestic consumption. The aim of China's new strategy is to
bring china back to its old status with the help of state-of-the-art technologies.
Xi's focus has been on 'development at all costs'. Now it has come to "high quality development". Which is part of
China's current five-year plan. It is part of Xi's "new development concept" which is believed to be more resilient
to external pressure and better for increasing China's wealth. Experts believe that Xi is trying to steer the economy
better by boosting domestic consumption. The aim of China's new strategy is to bring china back to its old status
with the help of state-of-the-art technologies.
But can "high-quality growth" deliver growth rates as fast as before?
Experts believe that in principle it can happen, but it has not happened before in history. That's why it cannot be
said that anything will be perfect. Household expenditure as a share of total GDP stood at around 38 per cent by
the end of 2021, much below the global average of 63 per cent. This has made china one of the weakest
consumption levels among the world's major economies. Unless china increases domestic consumption, GDP is
going to be around 2-3 percent.