The next and perhaps final window for the PBOC to cut policy rate is 15 March as the Federal Reserve is starting a rate hike cycle next month.
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Chinese provinces lowered GDP growth targets by 0.7pp on average, and we expect the central government to set the national growth target at “around 5.5%”.
The RMB remains very resilient despite PBOC efforts to rein the currency in as monetary policy divergence between China and the US grows ever starker.
The Sino-Russia joint statement refuted Anglo-Saxon values but bore few surprises; Beijing does not want NATO expansion or war in Ukraine.
Xi Jinping has re-invented the party apparatus to fit his vision, making the Party and government inseparable.
China is almost certain to post record-high foreign direct investment figures for 2021 amid strong profits and a resilient supply chain.
Beijing installs former Guangdong governor as new Xinjiang party secretary, signaling a pivot in Xinjiang policy as Xi deems social instability now resolved.
We try to address seven major questions for Chinese economy in 2022, including Covid policies, consumption, regulatory crackdown, monetary policy, real estate, exports, and energy.
The Chinese economy faces greater downward pressure in Q1 from real estate, heavy industrials, and consumption.
Leaders have called for more pro-growth policies for 2022 and it has become “a political matter” for officials to stabilize growth.