Covid-19: IMF urges China to vaccinate more and support the economy

With 30,000 new cases per day in China, the IMF is urging the country to sharply accelerate the pace of vaccinations against Covid-19.

(Illustrative image) AFP - STR

Text by: RFI Follow

1 min

As the pandemic is on the rise in China, with 30,000 cases per day, the IMF has urged the country to sharply increase the pace of vaccinations against Covid-19.

Advertising

Read more

According to the IMF

's Deputy Managing Director

, "

the combination of more contagious variants of Covid-19 and persistent gaps in vaccinations has led to the need for more frequent lockdowns, weighing on the rate of consumption and private investment, including in housing

,” said Gita Gopinath.

It is therefore necessary to increase the pace of vaccinations, believes the deputy managing director of the IMF, but also to maintain an accommodating budgetary policy to revive consumption and real estate, which are under pressure in the country.

And this, in particular by facilitating access to loans for construction companies and for home buyers.  

The IMF, however, believes that China's economic risks are tempered by the global slowdown, rising energy prices and tighter global financial policies.

The Fund also maintains its Chinese GDP growth forecast published last month.

That is 3.2% in 2022 and 4.4% in 2023. And it anticipates the gradual cessation of the

“zero Covid” policy

in the second half of 2023.

► 

To read also: Beijing neighborhoods under glass after the first deaths from Covid-19 in six months

Newsletter

Receive all the international news directly in your mailbox

I subscribe

Follow all the international news by downloading the RFI application

  • China

  • Coronavirus

  • IMF

  • Economy