ExplainerChina’s ‘two sessions’: 7 economic points to look out for as annual meetings get under way

From unveiling the annual economic growth target to addressing demographic changes and high unemployment, China’s leadership is looking to instil confidence

A new crop of economic regulators, armed with a new reform agenda, will also be named during annual sessions of the National People’s Congress and the National Committee of the Chinese People’s Political Consultative Conference

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Chinese leaders are expected to roll out new ways to boost the national birth rate. Photo: Reuters

Published: 10:00pm, 3 Mar 2023Updated: 12:11am, 4 Mar 2023

China’s legislature and political advisory bodies commence their annual meetings on Saturday. During the assembly, China’s top leadership will complete a twice-a-decade reshuffle and set the tone and budget for the year’s economic work.

President Xi Jinping is set to begin his unprecedented third term as president during the meetings, and they come as China’s economy and society at large are looking to get back on track after nearly three years of living with the crippling effects of zero-Covid measures.

China is also still facing particularly strong headwinds to its goals, both from internal and external sources, and the range of factors at play makes this year’s agenda-setting “two sessions” gatherings especially crucial for mapping out policy intentions.

Here are seven significant economic points to look out for.

1. Economic growth targets

The anticipated growth in China’s gross domestic product (GDP) will be arguably the most attention-grabbing target this year.

China’s economy failed to meet last year’s growth target of “around 5.5 per cent”, growing by only 3 per cent in 2022 – the second-lowest recorded percentage since 1976 and only slightly better than the 2.2 per cent growth reported in 2020.