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Financial Observation: China's Economy Actively Builds a Positive Interaction between Internal and E
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| Time：2020.06.10 News Sources： Views： |
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Beijing, June 9th (Xinhua) - Financial Observation: China's economy actively builds a virtuous interaction between internal and external circulation
Xinhua News Agency reporter Fan Yu
The COVID-19 has severely impacted the global economy, and the economic war "epidemic" situation of all economies is severe. Faced with the complex situation of increasing risks and challenges both domestically and internationally, China has seized the trend of development, actively coordinated domestic and international markets and resources, and strived to build a new development pattern of domestic and international dual circulation that mutually promotes each other.
According to the latest Global Economic Outlook released by the World Bank on the 8th, the global economy is expected to decline by 5.2% in 2020 due to the impact of the COVID-19, which will be the worst economic recession since World War II. The Chinese economy is expected to achieve a growth rate of 1%.
Faced with the shadow of economic recession, the obstruction of industrial and supply chain circulation, and the contraction of international trade and investment, the urgency of improving the domestic circulation system is particularly prominent. China has a population of 1.4 billion and the world's largest middle-income group, with a huge market size and enormous potential. Market advantages and domestic demand potential are China's biggest strengths.
Consumption has been the primary driving force behind China's economic growth for six consecutive years. In the eyes of overseas observers, consumption is expected to become the cornerstone of China's economy under the pressure of the epidemic. National University of Singapore scholar Gu Qingyang pointed out that the pandemic has led to a sharp decline in foreign trade demand, and even after the pandemic ends, demand from European and American markets will continue to weaken. Therefore, the construction of domestic demand chain is an important part of the domestic economic cycle. |
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