Chinese Economists Urge Government to Increase Borrowing to Stimulate Growth

A recent commentary by a group of Chinese economists highlights the urgent need for the Chinese government to raise its borrowing levels to stimulate the country’s economic growth. Amidst slowing economic development and a decreasing consumer demand, experts emphasize the importance of accelerating investments and state financing.

China is facing a number of challenges, including falling exports, rising unemployment, and a decrease in consumption levels. Economists assert that to counter these challenges, the government should consider increasing the budget deficit and actively using debt instruments to finance infrastructure projects and support businesses.

According to analysts, such measures will help boost overall demand and stimulate economic activity. They believe that state investments, particularly in sectors such as technology and green energy, could lead to long-term growth and job creation.

While the People’s Bank of China has already lowered interest rates and provided preferential loans, economists warn that these measures are insufficient. They argue that more aggressive fiscal policy and government investment will help accelerate the economic recovery.

China, which is sustaining its economy during times of uncertainty, must be prepared to take decisive steps not only to restore growth levels but to ensure sustainable development in the future.