Chinese Prime Minister Li Keqiang issued a third warning of economic growth risks in less than a week following the worrying prospects from the closure of Covid-19 in the country.
According to Li Keqiang, the authorities need to ‘create a sense of desperation’ when implementing existing policies, or in other words they should not wait for the situation to get bad to act.
He added that China will study and adopt stronger economic policies as needed to support the economy.
The statement came days after a similar warning was made by him, stressing the economic impact of sanctions and other control measures to stem the Omicron wave in China.
In addition, he also called for pro-growth measures to be accelerated, including implementing tax and fee cuts, the sale and use of special bonds as well as incentives to retain employment.
The majority of Shanghai’s 25 million residents are still placed under strict movement restrictions after the municipal government announced some easing.
Continued sanctions are expected to have a greater impact on growth across the region and put the global supply chain under pressure. Congestion in Chinese ports worsened after the country's largest port, Shanghai, imposed a nationwide closure.
Most economic data has also shown signs that China is now suffering amid rising inflation.
