China’s big challenge for 2022: Getting people to spend money

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• Along with the property market, consumption is one of two areas economists are most concerned about in their China growth outlook.
  
• Top leaders in Beijing warned at an economic planning meeting this month that growth faces “triple pressure” from shrinking demand, supply shocks and weakening expectations.
  
• “How consumption recovers next year will have a very great impact on the economy,” Jianguang Shen, chief economist at Chinese e-commerce company JD.com said in Mandarin, translated by CNBC.
  

BEIJING — Sluggish consumer spending has dragged down China’s economy since the pandemic, with little relief in sight for 2022.

Along with the property market, consumption is one of two areas economists are most concerned about in their China growth outlook. Consumer spending is also the sector that businesses and investors have bet on as they expect China’s middle class spending power to grow in coming years.

Top leaders in Beijing warned at an economic planning meeting this month that growth faces “triple pressure” from shrinking demand, supply shocks and weakening expectations.

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