The Politburo of the Communist Party of China (CPC) Central Committee held a meeting on July 24 this year analyzed the current economic situation and outlined economic tasks for the second half of the year. It was acknowledged at the meeting that since the beginning of 2023，China’s economy has been recovering steadily and returning to normality overall. Moreover，high-quality development has been well carried out，industrial upgrading has yielded good results，food and energy security has been effectively safeguarded，and social stability has been maintained. This has laid a solid foundation for the achievement of China’s economic and social development goals this year. Meanwhile，the difficulties and challenges that China’s economy currently faces were also recognized at the meeting. These include insufficient domestic demand，operational difficulties for some enterprises，numerous risks and uncertainties in key areas，and a complicated and stern external environment. It was stressed at the meeting that achieving economic goals for the second half of the year requires further efforts to comprehensively advance reform and opening-up，intensify macroeconomic policy regulation，focus on expanding domestic demand，boost confidence and mitigate risks，and accomplish sustained growth. There must also be an ongoing enhancement of self-sustaining economic drivers，continuous improvement in social expectations and mitigation of hidden risks. Efforts should be made to effectively help achieve reasonable growth and enhance the quality of China’s economy.

There are many positive comments and highlights on the meeting，which gives people more confidence and expectations for China’s economy. So，how should we view China’s current economic situation? Given the current economic challenges，what measures can be taken to mitigate these difficulties and overcome these challenges? In an exclusive interview to China Forex，Mr. YIN Yanlin，Vice Chairman of the Economic Committee of the Chinese People’s Political Consultative Conference (CPPCC)，shared his views with Dr. GAO Zhanjun，the Executive Editor-in-Chief of China Forex，on relevant issues.

Discussion 1

China's current economic situation