China’s Politburo revives crisis-era language in pledge to bolster economy
Decision-making body of Communist Party pledges to boost demand, stabilise property and stock markets after closely watched meeting
China will adopt a “more active” set of policies to expand domestic demand in 2025 with “moderately loose” monetary tools – language not used by high-level authorities since the global financial crisis in 2009 – officials said following a meeting on Monday.
A summary statement issued after a gathering of the country’s Politburo – a major decision-making body of the Communist Party – included small but significant rhetorical changes hinting at the gravity with which the country’s leadership views present economic conditions.
The last time Beijing employed the phrase “moderately loose” to define its monetary policy was in the aftermath of the global financial crisis in 2009, when China’s central bank went all-out to keep the economy afloat. Since then, the policy has been described as “prudent”.
And according to a note from Huatai Securities, this is the first time since 2001 that China’s authorities have characterised their overarching strategy for fiscal policy as “more active”.
“The main goals for economic and social development throughout the year will be successfully completed,” read the statement.
