China: Ms. Kristalina Georgieva, the Managing Director of the International Monetary Fund (IMF), has concluded her visit to China, praising the ‘productive and substantive’ talks with Chinese officials.
In July 2023, the IMF issued a warning that the global economic recovery from the pandemic was slowing down, despite a slight improvement in its outlook for this year’s world growth.
In China, the IMF predicts 5.2 percent growth in 2023, which is slightly above Beijing’s target of approximately 5 percent. Yet, growth in the Asian nation has faltered in recent months due to factors such as low consumer demand, elevated youth unemployment, and a crisis in the vital property sector. These challenges have further destroyed the already slowed post-COVID recovery.
“We talked about measures the Chinese government is taking to bring forward the goal,” the Bulgarian economist said, adding that the aim was vital for China and important for the world.
The IMF Managing Director has announced that she had engaging and meaningful talks with Chinese leaders, including Premier Mr. Li Qiang, Vice Premier Mr. He Lifeng, Central Bank Governor Mr. Pan Gongsheng, and Finance Minister Mr. Liu Kun.
“In a world where so many countries are vulnerable to the impact of COVID and war shocks, it is critical that the IMF has the financial strength to help them. I am grateful to China for recognising the role of the IMF at the centre of the global financial safety net,” Ms. Georgieva quoted.
In March 2023, the head of the IMF encouraged Chinese policymakers to focus on boosting productivity and shifting the economy from investment-driven growth towards a more sustainable, consumption-driven model.
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