China: Third plenum to focus on deepening reforms – UOB Group

China will hold its third plenum on 15-18 Jul. There is little anticipation of new stimulus measures at this meeting, but markets will be on the lookout for fiscal and tax reforms, strategies to counter increasing protectionism from the US and EU, UOB Group Economist Ho Woei Chen notes.

Much anticipation for the upcoming third plenum

“China will hold its third plenum on 15-18 Jul. With President Xi remaining at the helm, his economic policies to develop ‘new quality productive forces’, promote dual circulation and common prosperity will continue to drive his economic reform strategies.”

“Although the near-term stabilization of growth is also expected to be discussed, there is little anticipation of new stimulus measures at this meeting.”

“Markets will be on the lookout for fiscal and tax reforms, strategies to counter increasing protectionism from the US and EU, promotion of the domestic private sector and housing market development.”