How China is trying to spur consumer spending in fashion
China is going ahead with reforms designed to ramp up consumer spending, Premier Wen Jiabao said Monday during the summer meeting of the World Economic Forum. With the goal of long-range economic stability, these changes, said Wen, are hoped to strengthen China’s economy while balancing its trade surplus.
Noting China’s success so far in navigating the troubled waters of the global economy, Wen remarked that there still lacks a certain balance in China’s economy and more trouble spots need to be addressed. The country’s $586 billion stimulus spending package has had some victories, but more changes need to be on their way.
Such changes could include tightening the urban-rural division, boosting personal incomes and improving governmental social safety nets for increased consumer security.
Wen said China must capitalize on its position as one of the largest potential markets in the world, which “represents an important means to meet the challenges in the economy.”
Attempting to dispel loudly raised concerns over China’s unfriendly attitude toward foreign investment, Wen claimed that China has not changed its stance on the matter and that foreign direct investment in China continues to be on an upswing.
