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Monday, May 26, 2014
The Hints behind Premier Li Keqiang's Trip to Chifeng
ANBOUND

Premier Li Keqiang recently went on a fruitful investigation and research trip to Chifeng, Inner Mongolia. ANBOUND research team noted that Premier Li's speeches during the trip are in line with the central banks’ report, suggesting that the policy keynote does not change. However, the following are some hints from his speeches: the next phase of monetary and fiscal policies will focus on the issues of financing difficulty and expensive financing. Meanwhile, the next phase will highlight the relevance and implementation of policies. In the case of real economy downturn, there is a possibility of policy adjustment in the second half of this year. The combination of recent situations indicates that the possibility of a policy easing in the second half of the year is quite promising. The second-quarter economic data will play a key role in policy decisions, while the analysis of economic situation by Political Bureau of the Central Committee in July will provide major clues.

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