[HIGHLIGHTS] Is China living in a time of austerity?

Chinese tourists have returned to pre-pandemic levels. But signs of an era of austerity loom as spending patterns point to cautious sentiment.

Official data from China reported a significant increase of 19% in the number of tourist trips to 474 million trips during the Chinese New Year holiday. Per capita tourism revenues decreased by 9.5% compared to 2019, despite the significant increase in the tourist trips. In January, consumer prices in China witnessed their largest contraction in 14 years, contradicting inflation prevailing in most major economies.