Retail sales, a key measure of consumption, fell 5.9% in November due to weakness in the services sector, which was the biggest contraction since May when commercial hub Shanghai was under lockdown.
The China Banking and Insurance Regulatory Commission (CBIRC) has stated that the recovery and expansion of consumption will be a priority and has encouraged the purchase of big-ticket items such as new energy vehicles and green home appliances. The CBIRC has also pledged to support private investment and private enterprises by increasing financial support and satisfying the reasonable financing needs of the property sector. In addition, the CBIRC will work to improve the balance sheets of leading developers and proactively respond to the risk of credit asset quality deteriorating, encouraging banks to reinforce the disposal of non-performing loans.
China to End Quarantine Requirements for Inbound Travellers on January 8
The National Health Commission of China announced on Monday that the country will end quarantine requirements for inbound travelers starting on January 8. This news has led to an influx of people visiting travel websites in preparation for the reopening of borders.
The easing of COVID-related restrictions has prompted policymakers to focus on expanding domestic consumption and investment, with the China Banking and Insurance Regulatory Commission (CBIRC) stating that the recovery and expansion of consumption will be a priority.
