Neither property woes nor the pandemic stopped the economy growing by more than 8% in 2021, according to
So far it is getting the macroeconomic policy response broadly right. A tough set of policies designed to clamp down on dangerous property excesses has been moderated, to avoid inadvertently causing a crisis. Its strict limits on borrowing pushed overextended developers—most notably Evergrande—into default. This spread unease among homebuyers, who worried that flats they had bought in advance might never be built.
In contrast to its macroeconomic pragmatism, China remains zealously committed to its hardline approach to the pandemic. It celebrates its success as proof of its superior social model. That could prevent the fresh thinking it will need as the pandemic evolves. Even before Omicron arrived, the risks of a zero-covid strategy were clear.
They don't care
Yes, the fascist regime of Xi found a way out! By beating innocent people:
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