Consumption set to continue robust growth

Experts call for more efforts to bolster domestic demand, buffer external shocks

Bolstered by sustained policy support for trade-in programs, China's consumption is likely to continue its robust growth momentum in the second half of the year, better underpinning the country's stable economic growth amid mounting external uncertainties, analysts said.

China still has ample fiscal headroom to reinforce its trade-in initiative later this year should consumer demand exhaust its initial 300 billion yuan ($42 billion) allocation, they said, emphasizing that similar policy incentives could be extended to the service sector to foster more sustainable consumption growth.

On Tuesday, the Ministry of Finance announced the issuance of 11 ultra-long-term treasury bonds in the third quarter, with four of them seeing their timelines accelerated compared with the previous plan released in April. This will help maintain a continuous flow of funding to support policies meant to boost consumption, analysts said.