China has launched an ambitious 30-point policy plan to revitalize consumer spending and address persistent economic headwinds, signaling a renewed focus on balancing supply-side reforms with direct household support. The measures announced by the National Development and Reform Commission (NDRC) aim to stabilize key markets while linking consumption growth to social welfare improvements.
The plan's first seven sections outline concrete demand-side measures including wage growth initiatives and rural income enhancement programs. NDRC Deputy Director Li Chunlin emphasized the shift from earlier supply-focused strategies, noting: "Boosting household incomes and easing financial burdens now form the cornerstone of sustainable consumption growth."
Market Stabilization Takes Center Stage
For the first time in China's consumption policy framework, explicit measures target stock market stabilization and property sector recovery. The blueprint proposes leveraging long-term institutional funds and streamlining market entry for insurance and pension funds. Real estate support mechanisms include continued mortgage rate adjustments and developer financing coordination.
Consumption as Social Policy
The plan innovatively ties economic objectives to social welfare, allocating 66.74 billion yuan ($9.21 billion) for employment subsidies and 300 billion yuan ($41.67 billion) in special treasury bonds for consumer goods trade-ins. New proposals include child care subsidies and expanded medical insurance coverage for rural workers and gig economy participants.
Work-Life Balance in Focus
In a nod to quality-of-life concerns, authorities plan stricter enforcement of paid annual leave policies and prohibitions against excessive overtime. Pension benefits will see targeted increases, particularly for rural retirees and non-working urban residents, aligning consumption growth with broader social stability goals.
