After Ensuring 5% GDP Growth, Focus Must Return to the Long-Term

China’s policy adjustments should swiftly move beyond a risk response approach and toward steering the economy back to high-quality, sustainable growth

China’s economy is continuing its upward trend. The latest data from the National Bureau of Statistics shows that in the third quarter of 2023, China’s Gross Domestic Product (GDP) grew by 4.9% year on year. Accumulated over the first three quarters, China’s GDP growth stands at 5.2%. This achievement was hard won. Projections indicate that the GDP need only grow by more than 4.4% in the fourth quarter to achieve the full year’s growth target of around 5%. Yet, as stated by officials from the National Bureau of Statistics: “The contradictions between the external environment and the lack of internal demand have not fundamentally eased, and the foundation for a stable economic recovery needs to be further consolidated.” Going forward, as China’s economy gradually gets back on track, economic policies should shift away from a risk-response approach and embrace more long-term strategies and foundational measures.