consumption

Chinese leaders are focusing on economic stimulus, with policymakers expected to prioritize high-tech sectors over a large-scale consumption push, according to analysts.

China’s economy grew at 4.3% in Q2, the slowest pace in nearly four years, with first-half growth at 4.7%. Sluggish consumption amid the Iran war offset strong exports, though growth remains within Beijing’s annual target of 4.5-5%.

Hong Kong investors are avoiding mainland Chinese food and beverage (F&B) stocks due to ongoing concerns over weak consumption, which is affecting valuations. LXJ International's third listing application expired after failing to secure a hearing within six months, according to Hong Kong Exchanges and Clearing (HKEX) filings.

Pakistan's SME policy has prioritized consumption over production, with 45.1% of business establishments in trade versus 9.8% in manufacturing. Bank lending data shows 40.6% of trade credit goes to SMEs, compared to 5.5% in manufacturing, despite manufacturing SME credit stock declining by 15.6 percentage points in five years. The focus on consumption-driven sectors hinders export growth and productivity.

Chinese authorities, through the Ministry of Commerce and seven other ministries, released a plan with 17 measures to integrate AI into consumption sectors like retail and consumer goods, aiming to boost growth via smart products, robots, subsidies, infrastructure, and standards.

Business Monitor International projects India's economic growth to weaken to 6.6% in FY27 due to slower investments and consumption. This projection aligns with the Reserve Bank of India's 6.6% growth estimate for the same fiscal year.