Chinese Economy: Due to the crisis in the Chinese economy, poverty has increased there and unemployment has also increased. There are preparations to distribute cash to people through direct transfer in China on October 1.
China Stimulus News: After a series of announcements of relief packages by the Central Bank to rescue the Chinese economy from crisis, now the Chinese Government has decided to give one time cash allowance to the people on the occasion of China National Day on October 1, so that financial help can be provided to the people facing crisis.
Cash will be given on Chinese National Day
China’s Civil Affairs Ministry said that on the occasion of China’s National Day, on October 1, cash will be given as subsidy to the poor, orphans and needy there. The 75th anniversary of the formation of New China will be celebrated on October 1. The ministry said that the Chinese Communist Party and the Xi Jinping government are very concerned about the needy. However, the report did not say how much money will be given to the people in cash. The Chinese government has asked the regional civil affairs and finance departments to take this initiative very seriously. It has also asked them to ensure that people are given cash on time. The purpose behind giving cash is that people will spend more and more, which will benefit the Chinese economy.
Focus on high quality employment
The cabinet of the Chinese government has also issued guidelines to create high quality and sufficient employment opportunities, in which an oath has been taken to create employment and give good salary growth. In recent times, salary cuts and increasing unemployment among the youth in China have increased the problems of the government.
Announcement of relief package possible
The leaders of the ruling party of China have vowed that they will spend as much as possible to achieve the target of 5 percent economic growth rate. The Chinese Central Bank has announced a relief package, but more new stimulus packages are expected from the government. In China, emphasis is being laid on increasing domestic consumption as well as rescuing the crisis-hit real estate sector.
The brunt of dependence on exports
The Chinese economy, considered as the second largest economy in the world, is facing the brunt of excessive dependence on exports. Chinese exports have been affected due to global tensions. Property prices have crashed and consumer confidence has been shattered. The recent data released on China’s economy has raised concerns. Due to this, the Chinese Central Bank has made the biggest cut in interest rates since the pandemic and has pumped 1 trillion yuan or about $140 billion in cash into the financial system to help the economy recover from the crisis.
