China will continue to stimulate the economy and pursue a prudent monetary policy in 2024

China will stimulate domestic demand and promote economic recovery in 2024, and will continue to implement prudent monetary policy and proactive fiscal policy, state media reported.

Chinese media reported that a meeting of the Politburo of the ruling party, chaired by President Xi Jinping, also decided that the country will work to strengthen the coherence of macroeconomic policies.

China will ” actively promote economic activity, prevent and resolve risks, improve social prospects, promote the positive trend of economic recovery, and continue to actively promote the improvement of the quality of acceptable economic growth,”she said.

“Domestic demand should be expanded and a strong cycle should be formed to boost consumption and investment together. We need to deepen reforms in key areas and continuously inject strong momentum into high-quality development,” according to Chinese media.

Most analysts expect that China’s growth is on track to meet the government’s target of about 5 percent this year, but this growth will be compared to the rate of 2022, which was negatively affected by the covid pandemic and economic activities remain inconsistent.

Chinese government advisers will recommend a steady growth target for 2024 and further stimulus to the meeting of policymakers.

The Chinese government has launched a series of policy stimulus measures in recent months to support the weak economic recovery after the pandemic, which was affected by the real estate crisis, local government debt risks, slowing global growth and geopolitical tensions.