Chinese economic official: Expanding domestic demand will be the top priority in 2026

Expanding domestic demand will be the top priority of China's economic policy in 2026, according to an official from the Office of the Central Committee for Financial and Economic Affairs, reported by China's official Xinhua News Agency on Thursday.

In 2025, China's domestic demand remained stable overall and contributed 71 percent to economic growth in the first three quarters, which means China's boosting consumption policies have been effective, the official said.

Next year, the Chinese government will implement the following measures to boost consumption.

First of all, the measures could be focused on both the supply and demand sides to boost consumption. It is important to develop and implement an income growth plan for urban and rural residents, promote high-quality and full employment, and continue to increase the basic pension for urban and rural residents, so as to keep boosting residents' consumption capacity. 

And the government also will expand the supply of high-quality goods and services, vigorously develop new scenarios of consumption, and cultivate new consumption growth points, such as housekeeping services and tourism wellness, and also build the "Buying in China" brand to unlock the enormous growth potential of inbound consumption, the official said.

Secondly, the government should excel in investment management. The government should effectively leverage the driving role of government investment, make good use of funds such as central budgetary investment, ultra-long-term special government bonds, and local government special bonds, and give full play to the leading and driving role of major projects. 

In addition, it is necessary to stimulate the vitality of private investment, implement several measures to further promote the development of private investment, support private enterprises in participating in major projects in fields such as railways and nuclear power, and guide private investment to expand into new fields such as high technology and services, the official added.

(Cover via CFP)