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BEIJING, CHINA – MAY 3: The Chinese flag flies outside the People's Bank of China headquarters. Days later, Governor Pan Gongsheng cut the lending rate by 0.25 points to 1.5%. (Su Weizhong/VCG via Getty Images)

By Yu Yongding, Project Syndicate | Jun 2, 2025

While GDP growth is no longer paramount for China’s leaders, it still matters. And, at a time of falling export growth and insufficient domestic consumption, the only way China can reach its growth target is with a bold fiscal expansion that targets a robust increase in infrastructure investment.

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