China will focus on expanding domestic demand as the cornerstone of its 2026 economic policy, according to a senior official from the Office of the Central Committee for Financial and Economic Affairs. The announcement follows last week's Central Economic Work Conference in Beijing, where policymakers outlined strategies to address structural shifts in consumption and stabilize investment.
The official emphasized dual efforts to boost consumption through supply-side innovation and demand-side incentives, while also reversing declining investment trends to improve livelihoods and strengthen long-term growth. "By coordinating investment and consumption, and creating synergy between the government and the market, China has ample conditions to achieve sustained domestic demand growth next year," the official stated.
For 2025, projections indicate China's economy will grow approximately 5%, reaching 140 trillion yuan ($19.83 trillion), maintaining its position among the world's fastest-growing major economies. The property market remains a key focus, with plans to stabilize transactions and accelerate development of new industry models to meet demand from first-time buyers and upgraders.
While acknowledging challenges, the official expressed confidence in China's economic resilience, citing ongoing reforms and untapped growth potential across sectors.
