Home News China Focus

China’s Stimulus Tops $5 Trillion as Covid Zero Batters Economy

Bloomberg
Bloomberg5/20/2022 08:40 AM GMT+08  • 5 min read
China’s Stimulus Tops $5 Trillion as Covid Zero Batters Economy
The Great Wall at Jinshanling
Font Resizer
Share to WhatsappShare to FacebookShare to LinkedInMore Share
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

China’s plans to bolster growth as Covid outbreaks and lockdowns crush activity will see a whopping US$5.3 trillion pumped into its economy this year.

The figure -- based on Bloomberg’s calculation of monetary and fiscal measures announced so far -- equates to roughly a third of China’s US$17 trillion economy, but is actually smaller than the stimulus in 2020 when the pandemic first hit. That suggests even more could be spent if the economy fails to pick up from its current funk -- a possibility raised by Premier Li Keqiang earlier this week.

“The mainstay of policy this year is fiscal spending and government investment, while the central bank is only playing a supportive role so far,” said David Qu, China economist at Bloomberg Economics. “There’s still a lot of space for a stronger fiscal policy, which is more effective in supporting growth now.”

For more insights on corporate trends...
Sign In or Create an account to access our premium content.
Subscription Entitlements:
Less than $9 per month
Unlimited access to latest and premium articles
3 Simultaneous logins across all devices
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)
×
Loading next article...
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
Subscribe to The Edge Singapore
Get credible investing ideas from our in-depth stock analysis, interviews with key executives, corporate movements coverage and their impact on the market.
© 2022 The Edge Publishing Pte Ltd. All rights reserved.
Unlock unlimited access to premium articles with less than $9 per month. Subscribe Now