There is a mounting sense of urgency in China’s policymaking circles as the country’s economic slowdown becomes increasingly difficult to ignore. After months of weak recovery and growing distress in key sectors, Beijing appears to be coming to grips with the gravity of the situation. In response, on September 24, the People’s Bank of China (PBOC) unveiled a sweeping set of measures, signaling that China’s central bankers are prepared to take more aggressive steps to tackle the ongoing challenges.
Yet, while these monetary moves are significant, many experts argue that liquidity injections alone won’t suffice. The true test lies in whether Beijing will complement these efforts with a comprehensive fiscal package that addresses both immediate economic pressures and deeper structural issues.
Economist Liu Shijin, a leading voice in China’s economic debate, has emerged as…
