China Steps Up Counter-Cyclical Policy Support as Growth Pressures Mount
On Sept. 28, 2026, China's State Council pledged stronger counter-cyclical macroeconomic policy support as Beijing seeks to meet its 2026 growth target of 4.5%–5%.
CHINA,ECONOMY
Global N Press
9/28/20261 min read
On September 28, 2026, China’s State Council pledged to strengthen counter-cyclical macroeconomic policy support as the government seeks to meet its 2026 economic growth target of 4.5% to 5%. A meeting chaired by Premier Li Qiang called for faster issuance and use of government bonds, quicker launches of major projects under the 2026-2030 Five-Year Plan, and more effective fiscal spending. The government also plans to adjust monetary policy tools when appropriate and expand relending support for technological innovation, industrial upgrading, agriculture and small businesses. Additional measures are being considered to stabilize the property market, support employment and increase household incomes.
The policy push comes as China’s economy faces pressure from weaker domestic demand and a prolonged property downturn. Official data showed GDP growth slowed to 4.3% year on year in the second quarter of 2026, while industrial output, retail sales and investment subsequently showed signs of losing momentum. The State Council said the government would promote investment and consumption while improving the effectiveness of existing policies. The meeting also called for faster construction of major infrastructure networks covering water, power, computing, communications and logistics. The measures indicate that Beijing is placing greater emphasis on coordinated fiscal, monetary and investment policies to support growth during the second half of the year.
