China economic focus March 2022: is the 5.5% GDP growth target achievable?
The Chinese government has set the country’s GDP growth target for 2022 at around 5.5%. The target surprised the market on the upside, and is also higher than our forecast of 5.2%. A series of supportive measures are listed in the Government Work Reports released after the March congress meeting. However, with a growing number of cities returning to lockdown, devaluation of the stock markets, sluggish property sales, as well as the expected slowdown in exports, achieving the growth target will become challenging.