China common prosperity

From COVID-19 and China's economy to Taiwan and the BRI, what did Xi's big speech tell us about China's future policies?

Once again, China’s government failed to approve a property tax law, seen as a key part of reforming the real estate sector.

The real estate downturn and inflation will cause headaches in the new year, while the emphasis on common prosperity continues.

Xi Jinping has been clear that China’s old economic model is a thing of the past. The new one, however, is only starting to take shape.

Fixing inequality would require fundamental change in China’s tax structure and state system – reforms highly unlikely under the current political system.

An overheating property market represents a significant threat to economic and social stability in China.

The new focus on wealth redistribution comes alongside a crackdown on celebrity fan culture.

The “common prosperity” ideology is the realization of Chinese socialism imposed upon market-based, modern activity, which makes it especially hard for investors to interpret.