China's Recovery Is Quite Solid: ING's Pang

The video discusses China's consumer price inflation, focusing on food prices affected by swine flu and COVID-19 lockdowns. Despite low inflation, the PBOC is expected to maintain its current stance, while the government may introduce fiscal stimulus to counter weak external demand. The real estate sector's structural issues are highlighted as a long-term challenge, with potential growth through inventory sales and new constructions being crucial for GDP growth.

What has been a significant factor in the rise of egg prices in China?

• Improved egg production techniques

• Government subsidies

• Swine flu outbreak in Asia

• Increased demand for eggs

Why has there been a lack of general CPI inflation pressure in China?

• Rising food prices

• COVID lockdowns and competitive recovery

• Increased government spending

• High external demand

What is one expected measure to address weak external demand in China?

• Resuming subsidies for electric vehicles

• Imposing trade restrictions

• Increasing interest rates

• Reducing government spending

What is a structural issue facing China's property sector?

• Lack of available land

• Excessive foreign investment

• High construction costs

• Slow progress in resolving property sector issues

How is the Chinese government supporting property developers?

• By reducing taxes

• By increasing interest rates

• By allowing them to sell more inventories

• By providing direct financial aid