China Omits 2020 GDP Target, Citing Virus, Global Uncertainties

China has decided not to set an annual growth target for the first time in decades due to the economic impact of the virus. The country's GDP contracted by 6.8% in the first quarter of 2020, with economists predicting a growth of 1.8% for the year. The focus has shifted to stimulating the economy, addressing unemployment, and managing financial risks. Policymakers are considering increasing the deficit target and infrastructure spending, while the PBOC plans to provide more monetary support. Efforts to clamp down on shadow banking are seen as a success, and there is a renewed focus on employment and poverty alleviation.

Why did China decide not to set an annual growth target for the first time in decades?

• To align with global economic trends

• To focus on environmental issues

• Because they achieved their growth goals early

• Due to the impact of the virus on the economy

What is the expected economic growth rate for China in 2020 according to most economists?

• 0.5%

• 3.5%

• 1.8%

• 6.8%

What are some of the key areas China is focusing on instead of setting a growth target?

• Military, space exploration, and sports

• Healthcare, agriculture, and trade

• Tourism, technology, and education

• Unemployment, financial risks, and poverty elimination

What is one of the clear wins for Chinese policymakers according to The Economist?

• Reducing carbon emissions

• Expanding the tech industry

• Clamping down on shadow banking

• Increasing foreign investments

What is one of the main goals for President Xi Jinping in 2020 that is challenging to achieve?

• Becoming a global tech leader

• Eliminating absolute poverty

• Hosting the Olympics

• Winning the World Cup