The Annual Economic Conference was held in Beijing from December 10 to 11, during which Chinese leaders defined the priorities for economic work in 2026.
Xi Jinping, General Secretary of the Communist Party of China Central Committee, President of China, and Chairman of the Central Military Commission, delivered an important speech at the conference. Xi reviewed the country’s economic work in 2025, analyzed the current economic situation, and made arrangements for economic work in the coming year.
China will continue to implement a more proactive fiscal policy and maintain necessary budget deficits, overall debt levels, and the scale of expenditures, while normalizing tax incentives and subsidy policies. China will also continue to pursue a moderately flexible monetary policy, making flexible and effective use of various monetary policy tools, such as reserve requirement ratios and interest rates, to ensure ample liquidity.
Participants at the meeting stated that the RMB exchange rate would be kept generally stable at an adaptive and balanced level, adding that China would strengthen the consistency and effectiveness of macroeconomic policy guidance and improve expectation management mechanisms to boost social confidence.