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China’s Bold Economic Stimulus Measures: An In-Depth Review

In a strategic move, Chinese authorities have unveiled a suite of fiscal strategies aimed at boosting domestic consumption and economic progress while mitigating the ongoing impact of trade tensions with the U.S. Beijing has set an ambitious GDP growth target of 5% for the year and declared a record budget deficit.

Key Points

  • Target for economic growth: 5% in 2025.
  • Projected budget deficit rise to 4% of GDP, the highest since 2010.
  • Issuance of special treasury bonds worth 1.3 trillion yuan ($178.9 billion) and 500 billion yuan for state banks.
  • Local authorities to receive 4.4 trillion yuan through targeted bonds.
  • 300 billion yuan dedicated to expanded subsidies for electric vehicles and household goods.
  • Aim to maintain urban unemployment at 5.5% and create over 12 million urban jobs.
  • Increased defense spending amid geopolitical challenges.

Impact Highlight

Addressing tepid domestic demand, the government has adjusted its consumer inflation goal from 3% to around 2%, the lowest in over twenty years. This new inflation ceiling aims to foster business investments and enhance consumer income. Four major tasks include bolstering fiscal support, boosting consumption, regulating to prevent price wars, and stabilizing real estate prices.

Cyprus Outpaces EU Average In Working-Age Population Share, Eurostat Finds

Cyprus had a working-age population share of 61.6 per cent on January 1, 2025, placing the country above the European Union average of 58.3 per cent, according to Eurostat.

Cyprus Stands Above The EU Benchmark

The figures show that people aged 20 to 64 made up more than three-fifths of Cyprus’ population at the start of last year. In Eurostat’s regional demographic breakdown, Cyprus is treated as a single region because of its size, rather than being divided into multiple NUTS level 3 areas.

Wide Gaps Across The Bloc

Across the EU, 58.3 per cent of the population was of working age on January 1, 2025. The share reached at least 63.0 per cent in 39 NUTS level 3 regions, most of them in Germany. The group also included island regions in Spain, alongside several capital regions and their surrounding areas.

Capital And Island Regions Lead

At the top of the range was the Danish capital region of Byen København, where 68.9 per cent of residents were of working age. The same proportion was recorded in Spain’s island region of Eivissa y Formentera, while Fuerteventura stood at 68.3 per cent and Lanzarote at 67.3 per cent.

Rural Europe Skews Older

At the other end of the spectrum, working-age residents accounted for less than 55.0 per cent of the population in 189 EU regions. These areas were largely rural, including inland Portugal, much of rural France, most of eastern Germany, and rural areas in Bulgaria, Greece and the Nordic EU countries.

In six regions, fewer than half of the population was of working age. Those regions were Bornholm in Denmark, Creuse and Lot in south-west France, Etelä-Savo in south-east Finland, the Arrondissement of Veurne in Belgium and the French outermost region of Mayotte.

What The Data Measures

Eurostat’s regional demographic data measure the share of people aged 20 to 64, not the share of people who are actually employed. Cyprus’ 61.6 per cent figure was 3.3 percentage points above the EU average, though still below the highest regional levels recorded across the bloc.

The data underline how sharply Europe’s age structure varies from one region to another, with working-age shares differing significantly between urban centres, capital regions, islands and predominantly rural areas.

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