China’s National Development and Reform Commission (NDRC) has announced a 20-item package to boost domestic consumption. According to the package, consumption of a wide range of products and services will be encouraged, including in the new energy vehicles (NEV), household appliances, electronics, food, culture and tourism sectors, as well as in rural areas. According to the statement published by the NDRC, studies will also be carried out for housing and better life.
China has announced a new 20-item package to increase domestic consumption.
As policymakers look for ways to boost confidence and support the recovery, China is taking steps to increase credit to private companies and expand other financing measures to small companies.
Li Chunlin, Vice Chairman of China’s National Development and Reform Commission (NDRC), said the measures are aimed at stabilizing the consumption of high-priced products, expanding the consumption of services, promoting rural consumption, discovering new types of consumption, improving consumption facilities and optimizing the consumption environment.
The NDRC said in a statement that local authorities should not announce new measures to restrict the purchase of cars, while regions that have already taken restrictive measures on car purchases should improve these measures to adapt to local conditions.
Li said that automobile production and sales in China grew significantly in the first half of the year, increasing by 9.3 percent and 9.8 percent, respectively.
Stating that the measures approved by the State Council are aimed at better implementation of the strategy of expanding domestic demand, fully emphasizing the fundamental role of consumption in stimulating economic growth, and maintaining the high-quality development of the country, Li said that local people’s consumption significantly improved in the first half of the year in the incomes of the food and tourism sectors. He said he recorded it.
Li also announced that the combined revenues of the catering industry increased by 21.4 percent annually, while domestic tourism revenues increased by 95.9 percent.