China’s consumer prices remained stable in November, while producer prices saw a 2.5% year-on-year decline, indicating deflationary pressures in the industrial sector. Amid these economic signals, GTC Chief Analyst Ameel Ahmad shared insights during an interview with CGTN’s Global Business.
Ahmad highlighted that a challenging global environment is contributing to subdued market demand and low inflation in China. “The external environment is not so strong,” he noted, pointing to factors such as slowing global growth and geopolitical uncertainties impacting international trade.
Given these circumstances, Ahmad believes that the Chinese government is poised to implement more direct stimulus measures to invigorate domestic economic momentum. “We expect policymakers to introduce targeted initiatives to boost consumption and support industries affected by the global slowdown,” he said.
Such stimulus efforts could include fiscal policies aimed at encouraging consumer spending, investment in key sectors, and support for small and medium-sized enterprises. Strengthening domestic demand is seen as a crucial step for China to maintain sustainable economic growth amid external headwinds.
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Analyst sees more direct stimulus to boost China's domestic demand
cgtn.com
