Xing Ziqiang, China's chief economist at Morgan Stanley, said that the policy tone is steady layout and gradual progress. It wants to stabilize the current level of growth and partially reduce deflationary pressure, but it does not reflect a demand for strong stimulus or larger path adjustments to achieve re-inflation and break the deflationary cycle. Considering these factors, our expectations for 2026 growth, especially nominal GDP growth, will remain at a nominal GDP growth rate of around 4%, which is a bit more conservative than the market's unanimous expectations. As far as next year's fiscal policy, monetary policy, real estate, and consumption policy are concerned: although the total amount of finance is relatively moderate, it may advance to the first quarter and the first half of the year, using infrastructure investment as a starting point; there is not much room for monetary policy to actually cut interest rates; further real estate support policies and further consumption stimulus policies may depend on the interpretation of the situation, that is, the situation is better than people. It will take the first half of the year to make policy decisions.

Xing Ziqiang, China's chief economist at Morgan Stanley, said that the policy tone is steady layout and gradual progress. It wants to stabilize the current level of growth and partially reduce deflationary pressure, but it does not reflect a demand for strong stimulus or larger path adjustments to achieve re-inflation and break the deflationary cycle. Considering these factors, our expectations for 2026 growth, especially nominal GDP growth, will remain at a nominal GDP growth rate of around 4%, which is a bit more conservative than the market's unanimous expectations. As far as next year's fiscal policy, monetary policy, real estate, and consumption policy are concerned: although the total amount of finance is relatively moderate, it may advance to the first quarter and the first half of the year, using infrastructure investment as a starting point; there is not much room for monetary policy to actually cut interest rates; further real estate support policies and further consumption stimulus policies may depend on the interpretation of the situation, that is, the situation is better than people. It will take the first half of the year to make policy decisions.