NDRC vows to enhance consistency in macro policy orientation in 2024

China's top economic planner on Thursday emphasized the importance of enhancing consistency in macro policy orientation in 2024, as part of its efforts to strengthen policy coordination and ensure a synchronized and concerted policy response across economic sectors.

Assessing the consistency of macro policy orientation is a crucial innovation in macroeconomic regulation and an important means of strengthening policy coordination, Yuan Da, a deputy secretary-general of the National Development and Reform Commission (NDRC), said at a press conference on the country's macroeconomic situation and policies interpretation on Thursday.

The NDRC reaffirmed the importance of not only aligning economic policies but also factoring in non-economic policies in macro policy orientation to ensure a harmonious and synchronized policy environment at the press conference, echoing the directives of the tone-setting Central Economic Work Conference held in Beijing in December 2023

At the conference, Yuan stated that NDRC will thoroughly implement the spirit of the Central Economic Work Conference, conduct high-quality assessments of macro policy orientation consistency plans and adopt a multifaceted approach to further enhance the consistency of macro policies, which includes introducing more policies conducive to stabilizing expectations, growth and employment, and being prudent about publishing contractionary and restrictive measures.

This entails refining the assessment mechanism, conducting comprehensive and prudent evaluations of policy impacts, and strengthening consistency during policy implementation. Additionally, the commission will reinforce its economic situation analysis, bolster economic monitoring and early warning systems, and bolster policy research and preparation.

Highlighting the role of the policy document assessment mechanism instituted in 2022, Yuan noted that the mechanism aims to evaluate new policies in terms of their alignment with broader macroeconomic objectives, with a focus on evaluating their impact on economy and social expectations, so that timely assessment can be provided to promote a combined effect of policies.

These efforts are expected to contribute to a more forward-looking, scientific, and effective macroeconomic regulatory framework, and ultimately reinforce the positive trajectory of China's economic recovery and growth, Yuan noted.

On Wednesday, China posted a robust GDP growth of 5.2 percent for 2023, which highlighted the strong growth of the world's second-largest economy and its potential for continuous expansion.