China’s NPC 2018: Seeking progress while maintaining stability

China delivered solid economic performance and made notable headway on reforms in selected areas in 2017

Mar 6, 2018 | Invesco Asian Investment Team

The annual National People’s Congress (NPC) started on 5 March 2018 with Premier Li Keqiang delivering the annual government work report, announcing key economic growth targets and mapping out major policy initiatives aiming at promoting high-quality economic development going forward.

China was largely on track with its policy targets in 2017, and key targets set out for 2018 are broadly in line with our expectation.

We hold the view that top leadership will further fine tune growth rates to drive continued efforts in deleveraging, which is necessary and conducive to reduce and eventually remove the discount international investors has placed on Chinese equities due to the country’s high debts level.

 

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