Reuters, Beijing, November 27-Wang Bin, deputy director of the Department of Market Operations and Consumption Promotion of the Ministry of Commerce of China, said on Friday that as China’s epidemic prevention and control and policies to benefit enterprises and people take effect, the consumer market continues to rebound and recover steadily. According to comprehensive research and judgment, the consumer market will continue to pick up and accelerate the recovery towards the end of the year. It is initially expected that the total amount of social zero will rebound further in 2021, which is expected to achieve faster recovery growth.
At the briefing held by the State Council Information Office, he stated that in the face of the complex and changeable domestic and foreign situation, China’s economy continues to improve, and the positive factors for the consumer market to maintain stability and progress have been accumulating, and that it has many favorable conditions. We must see that the impact of the epidemic continues, residents still have concerns about consumption, business operations are still relatively difficult, consumption expectations are not yet stable, and there are still many shortcomings in the development of China’s consumer market.
“We must pay close attention to the development and changes of the domestic and foreign situation, earnestly grasp the bulk consumption and key consumption, accelerate the release of rural consumption potential, and promote the steady and progressive development of consumption.” Wang Bin said.
He pointed out that from the perspective of favorable factors, China’s epidemic prevention and control, resumption of work and production, and resumption of business and markets are all leading the world, creating a good environment for the steady development of consumption. According to the forecast of the International Monetary Fund, China’s economy will grow by 1.9% in 2020, making it the only major economy that maintains positive growth.
At the same time, China has a large market of 1.4 billion people and the world’s largest and fastest-growing middle-income group. The per capita GDP has exceeded 10,000 U.S. dollars, which contains large-scale, multi-level and diversified consumption potential. In addition, since the beginning of this year, the state has intensively introduced a series of policies and measures to help enterprises stabilize jobs and promote consumption, implement proactive fiscal policies and prudent monetary policies, expand the size of the fiscal deficit, and issue special national debts to fight the epidemic. The policy effects will be further manifested.
New types of consumption characterized by online and offline integration continue to emerge. The accelerated development in the prevention and control of the epidemic is in line with the trend of consumption upgrades and injected strong new impetus into economic stability.
“In the medium and long term, China’s development resilience is strong, and the advantages of a large country’s economy are constantly emerging. The fundamentals of the steady development of China’s consumer market will not change, and the upward trend of long-term stability will not change.” Wang Bin said.
China’s consumer market has shown a steady recovery recently. The total retail sales of consumer goods in October increased by 4.3% year-on-year, achieving positive growth for three consecutive months.
On November 18, the executive meeting of the State Council made arrangements on “boosting bulk consumption, key consumption, and promoting the release of rural consumption potential”, deploying to boost bulk consumption, key consumption, and promoting the release of rural consumption potential, requiring the expansion of automobile consumption and encouraging localities to increase Brand indicators are launched. (Finish)
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