China announces more support for economy but holds back on major spending package
China’s economic planning agency has outlined details of measures aimed at boosting the economy but refrained from major spending initiatives
HONG KONG (AP) — China’s economic planning agency outlined details of measures aimed at boosting the economy on Tuesday but refrained from major spending initiatives.
The piecemeal nature of the plans announced Tuesday appeared to disappoint investors who were hoping for bolder moves, and Shanghai's benchmark gave up a 10% initial gain as markets reopened after a weeklong holiday to trade just 3% higher.
The head of the National Development and Reform Commission said the government will frontload 100 billion yuan ($14.1 billion) in spending from the government’s budget for 2025 in addition to another 100 billion yuan for construction projects.
The scale of spending overall was well below the multi-trillion yuan levels that analysts said might be expected.
