China Should Aim For Growth Higher Than 5% In 2023

China should set its GDP growth target above 5% in 2023 and aim for an even higher growth rate given room for supportive policy and a relatively low base in 2022, 21st Century Business Herald reported citing a report by Chinese Academy of Social Sciences. China should set the budget deficit-to-GDP ratio at around 3% next year. The central government should continue to increase leverage, such as issuing more general bonds instead of special-purpose bonds, the newspaper said citing Zhang Xiaojing, director of the Institute of Finance, CASS. It is also necessary to prevent a balance sheet recession and stabilise the leverage ratio of the household sector by steadying the real estate market, Zhang was reported as saying. It is important to stabilise the expectations of private enterprises and create financial conditions for them to add leverage, the newspaper said citing Zhang.