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Caution Over 2023 Consumption Rebound - PBOC Survey

CHINA PRESS
MNI (BEIJING)

Experts are divided on the extent to which China’s household pandemic era savings can fuel a rebound in consumption in 2023, according to Yicai.com. A recent survey by the People’s Bank Of China (PBOC) showed 61% of urban residents intend to "save more", up 3.7 percentage points over the previous quarter, with 22.8% intending to “consume more”. Some experts believe the large increase in household deposits during the pandemic will be able to support a consumption rebound in 2023, but others say a large part of the savings is ringfenced for future real estate purchases once confidence has returned to the property sector, or are the result of investors liquidating bond positions as yields have declined, according to Yicai.com.

MNI Beijing Bureau | lewis.porylo@marketnews.com
MNI Beijing Bureau | lewis.porylo@marketnews.com

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