China reports steady economic performance, sets H2 priorities to secure growth

China's top economic and fiscal authorities have delivered their mid-year updates to the 14th National People's Congress (NPC) Standing Committee, pledging stronger measures to support growth and stability in the remainder of 2025 while reviewing progress achieved so far.

Priorities for the final six months take center stage

For the rest of 2025, the government has outlined a proactive approach that emphasizes maintaining policy continuity while enhancing flexibility and foresight in economic management. Core goals include stabilizing employment, enterprises, markets and expectations, while guiding inflation to a reasonable level and keeping growth on track to meet annual targets.

The strategy emphasizes deep integration between scientific and industrial innovation while maintaining a commitment to reform and opening-up policies. Key priorities also include comprehensive risk prevention in critical sectors, promoting coordinated regional development, and advancing green low-carbon development through comprehensive carbon emission controls. The government also pledged continued efforts to improve public welfare and strengthen security capabilities in key areas.

Stable progress amid rising uncertainty

On behalf of the State Council, Zheng Shanjie, director of the National Development and Reform Commission, presented the government's mid-year economic review. He cited steady progress across major indicators – growth, employment, consumption, trade, household income and green development.

Six areas of notable achievement were highlighted: more proactive macro policies, expansion of domestic demand, industrial upgrading, deeper reform and opening-up, improved regional coordination and urban-rural integration, and stronger livelihood protection.

While acknowledging "generally good" plan implementation, Zheng warned of a more complex and uncertain environment globally, but stressed China's solid fundamentals.

Fiscal policy takes a proactive stance

Finance Minister Lan Fo'an reported that fiscal operations remained stable in the first half of the year, with policy described as "more proactive and sustained." 

Going forward, fiscal work will focus on six areas: making full use of proactive fiscal policy, fully supporting employment and trade stability, accelerating the development of new growth drivers, further safeguarding and improving people's livelihoods, strengthening risk prevention in critical areas, and enhancing fiscal governance capacity.

The legislative agenda for 2026-2030

The session also heard a special research report on key issues in drafting the 15th Five-Year Plan. The report analyzed future challenges and provided recommendations for the 2026-2030 period, emphasizing scientific innovation, the development of new quality productive forces, domestic demand expansion, and people-centered growth patterns.

The research revealed extensive legislative recommendations from specialized committees across multiple sectors. Priority areas include national security laws, economic legislation, technology frameworks, environmental updates, urban-rural development and social services.