China wants to boost economic stimulus

China has signaled it wants to step up measures to support the economy. According to information released at the end of China's recent Central Economic Conference, China is seeking to strengthen monetary and fiscal policy reforms. The world's second largest economy, with stronger fiscal and fiscal policies, could create favorable monetary conditions for reform, including widening fiscal deficits and inject capital into the housing market.

Goldman Sachs, an analyst at Goldman Sachs, said: "Each word about fiscal, monetary and other policies outstrips the ability to support stimulus measures." Meanwhile, Chinese leaders have not forgotten to push for reform and limit the dependence of the economy on credit. China's chief economist, Capital Economics, Mark Williams, said China is facing a challenge to regain confidence. of investors, so in the short term most likely the world will immediately see the easing efforts, to revive the economy. In fact, in recent months, flexible monetary policy has been the dominant theme of China's economy. China Central Bank (PBOC) is also headed for a "interest rate corridor" to control borrowing costs, rather than directly setting lending rates and mobilizing as the old model. In an effort to "open the door" to the real estate market, the Chinese government also pledged to support rural people to buy housing in the city and encourage homeowners to reduce their housing inventory. Real estate companies will be downsized and forced to change their market strategies. In 2015, China set a target of 7% growth. According to calculations by many organizations, this goal may be "threatened", but despite that, China will still record the lowest growth since 1990. In the near future, China's economy will continue to overcome many difficulties. Even so, the Royal Bank of Canada and Rabobank said that China's 6.5 percent economic growth target over the next five years would fall apart unless the yuan fell by at least 8 percent against the dollar at the end. in 2016. In the past six months, speculative funds have sharply plunged shares of Chinese companies listed on the US stock exchange.