Recently, the National Development and Reform Commission of China, the People's Bank of China and other departments have intensively held "mid-year meetings" to make specific arrangements around their respective fields. Through these meetings, let’s see how economic work will be promoted in the second half of the year.

Macropolis policy: Continuous efforts and timely efforts

The macropolis policy orientation is a topic that the market is generally concerned about. Multiple analysts believe that "continuous efforts and timely efforts" will become the keywords of macroeconomic policies in the second half of the year.

On July 31, the National Development and Reform Commission held a briefing on the development and reform situation in the first half of 2025, proposing to do a solid job in the development and reform work in the second half of the year, focus on major changes, important indicators, major issues, etc. to analyze and judge the situation, focus on stabilizing employment and expanding domestic demand, and make policy pre-research reserves, and strengthen the consistency of macro-policy orientation.

Follow fiscal policy, the Ministry of Finance has made it clear that it is necessary to make good use of more active fiscal policies and increase the intensity of countercyclical fiscal regulation.

"Accelerate the issuance and use of ultra-long-term special treasury bonds and local government special bonds, and form physical workload as soon as possible." Minister of Finance Lan Foan said that the guidance and driving effect of fiscal funds should be used to promote the continuous release of the effectiveness of various policies. Implement various fiscal and tax policies to help enterprises and effectively improve the micro-circulation of the economy. Coordinate the use of policy tools such as special funds, tax incentives, government procurement and government investment funds to support the transformation and upgrading of traditional industries, the development and growth of emerging industries, and the forward-looking layout of future industries. Guide and urge local governments to do a good job in replacing hidden debts and actively and steadily resolve local government debt risks.

Following monetary policy, the People's Bank of China proposed to continue to implement moderately loose monetary policies. Comprehensively use a variety of monetary policy tools to maintain abundant liquidity, guide financial institutions to maintain reasonable credit growth, and match the expected targets of economic growth and total price levels. We will ensure the implementation of various monetary policy measures, smooth the transmission of monetary policy, and improve the effectiveness of monetary policy implementation. Revitalize the existing stock, make good use of the incremental volume, and improve the efficiency of capital use. Strengthen the implementation and supervision of interest rate policies. Maintain exchange rate flexibility, strengthen expectations guidance, and prevent the risk of exchange rate overshoot.

Expanding domestic demand: Effectively release potential

In the first half of this year, domestic demand contributed 68.8% to economic growth, continuing to play the role of the main driving force of growth.

About key tasks in the second half of the year, many departments have made arrangements to effectively release the potential of domestic demand. The National Development and Reform Commission proposed to increase efforts to stabilize investment and promote consumption, expand investment growth, strengthen the full-cycle management of government investment projects, focus on stimulating the vitality of private investment, promote the construction of "two-fold" with high quality, improve quality and efficiency, implement the "two-new" policies, stimulate market vitality and boost consumption.

"We will expand domestic demand in all aspects, combine boosting consumption and developing new quality productivity according to local conditions, support the development of new consumption, focus on the field of people's livelihood, and open up and innovate application scenarios." Zhou Chen, director of the National Development and Reform Commission's National Economic Comprehensive Department, said that we will actively expand effective investment. In the near future, the National Development and Reform Commission will submit approval to accelerate the establishment and deployment of new policy-based financial tools, and at the same time promote private enterprises to participate more in the construction of major national projects.

The Ministry of Industry and Information Technology proposed that in the second half of the year, the strategy of expanding domestic demand will be implemented and the basic foundation of the industrial economy will be consolidated. Formulate an action plan to enhance the adaptability of consumer goods to help expand consumption, and accelerate the development and application promotion of technologies such as artificial intelligence terminals, ultra-high-definition videos, smart wearables, and drones.

The Ministry of Finance stated that it will continue to improve the policy system to support the consumption of services such as elderly care, childcare, culture, and tourism. Improve the duty-free shop policy and promote the healthy and orderly development of the retail business of duty-free goods. Strengthen the coordination and linkage between fiscal and financial policies, and introduce and implement fiscal interest subsidies for personal consumption loans and service industry operators in key areas to better meet consumption needs. Continue to promote the construction of "two-level" projects. Support the acceleration of the construction of a new model of real estate development, implement urban renewal actions, and promote the sustained and healthy development of the real estate market.

People's livelihood security: Solving urgent, difficult and anxious problems

Doing a solid job in people's livelihood security is the focus of economic work in the second half of the year.

Highlight the policy orientation of employment priority. The Ministry of Human Resources and Social Security proposed that it will focus on the implementation of the potential expansion plan for jobs in key areas, and work with relevant departments to cultivate and strengthen employment growth points such as digital economy, green economy, silver economy, and night economy. Implement policies such as employment subsidies, tax and fee discounts, and guaranteed loans in detail, and promote one-click application and direct subsidy and quick processing. In view of the different characteristics of college graduates, migrant workers, especially those who have been lifted out of poverty and unemployed people, we will steadily advance special actions and increase assistance. Enhance the frequency of recruitment activities and hold more "small but beautiful" and "specialized but refined" recruitment.

Strengthen the foundation of the "three rural issues". The Ministry of Agriculture and Rural Affairs stated that it will earnestly grasp early rice harvest and agricultural disaster prevention and mitigation, strengthen high-standard farmland construction and farmland ditches management, strengthen large-scale yield improvement, and strive to complete the expected goal of about 1.4 trillion jin of grain output for the whole year, continue to consolidate and expand the results of poverty alleviation, successfully complete the goals and tasks of the last year of the transition period, and maintain the bottom line of preventing large-scale relapse into poverty.

"We will strengthen comprehensive coordination and comprehensive balance, make greater efforts to stabilize employment, solidly maintain the security of key areas such as grain, energy, industrial chain and supply chain, and do a good job in ensuring energy and electricity supply during peak summer and peak winter." A relevant person in charge of the National Development and Reform Commission said that at the same time, we will always put the safety of people's lives first, strengthen production safety and disaster prevention and mitigation, strengthen risk and hidden danger management in key industries and fields, thoroughly implement policies to assist enterprises, strengthen universal, basic and bottom-up people's livelihood construction, improve "one old and one young" and other services, and increase efforts to ensure the supply and price stability of people's livelihood commodities.