China aims to boost domestic spending by setting spring and autumn breaks for primary and secondary students. Zhang Yi,deputy to National People's Congress and part of Chinese Academy of Social Sciences,stressed that matching "consumption capacity" with "time available for consumption" is key to driving demand.
As China pivots to consumption-driven growth,enhancing consumer spending is now a government priority. The ongoing "two sessions" in Beijing spotlight domestic demand's importance,as noted in government work report and draft of 15th Five-Year Plan (2026-2030). Report pushes expanding domestic demand amid tough global environment,proposing steps to spur consumption.
Government plans to cut excessive spending restrictions,unlock potential in culture,tourism,sports,and healthcare. Spring and autumn holidays plus staggered paid leave for workers have sparked public approval . Families eager to travel during these seasons,China National Radio reports.
But proposal raises questions about practical rollout . Concerns include designing breaks effectively and syncing holidays for parents and kids. Zhang addressed these,stating that combining school breaks with staggered leave gives workers both money and time to spend.
Zhang noted raising worker incomes is key to boosting domestic demand. Only with higher income can consumption grow,letting residents spend more through market channels. He proposed three strategies for income distribution: boosting direct wages,enhancing redistribution to tackle income gaps,and supporting low-income groups more.
China's cities and regions show uneven development,complicating consumption stimulation. Zhang suggested seeing consumption through two lenses: subsistence and developmental. While subsistence consumption faces big hurdles,developmental consumption shows a national push for upgrading,pointing to future trend.
To truly spark consumption,Zhang concluded,rising incomes must link with better consumption patterns. Only by tying higher income levels to consumption transformation can desired economic growth be realized…
