Chinese President Xi Jinping announced that Beijing will adopt more proactive economic policies in 2026 to reinforce long-term growth, as the world’s second-largest economy moves toward meeting its annual expansion target despite mounting internal challenges.
Speaking during a New Year’s ceremony attended by senior officials of the Chinese Communist Party, Xi said the country’s economy is expected to reach a scale of approximately 140 trillion yuan (about $20 trillion) in 2025, according to remarks broadcast by state television.
Xi acknowledged that China’s economic performance continues to face significant pressures, but stressed that the broader outlook remains resilient. “Despite the challenges,” he said, “our economy continues to demonstrate strong vitality and an ability to adapt.”
He emphasized that future policies will focus on achieving a balance between high-quality development and steady quantitative growth, while ensuring social stability remains a central priority.
China is widely expected to record economic growth of around 5 percent in 2025, in line with official targets, even as momentum slows toward the end of the year.
The deceleration has been driven by subdued household consumption, persistent deflationary pressures, and an extended downturn in the property sector.
Xi’s remarks signal a clear intent by Beijing to strengthen policy support beyond the current year, as authorities seek to stabilize confidence, stimulate domestic demand, and guide the economy through a complex global and domestic environment heading into 2026.
