China president Xi continues to push the goal of common prosperity

Xi is quoted in saying “economically developed provinces should actively explore experience in promoting common prosperity for all”. The goal of common prosperity isn’t a new one in China but has certainly gained much prominence under Xi’s presidency. In particular, the narrative escalated after the Covid pandemic – which triggered a lot of angst in China, not just economically but also socially.

Amid China’s struggling demographic landscape, this can be seen as one of Xi’s solution to try and turn things around in the next decade or so.

As a reminder, one of the main goals of common prosperity is to narrow the urban-rural income gap “to a reasonable range”. And Xi says China will definitely make “substantial progress” on this by 2035. The mindset that he is trying to create is essentially one where “those who get rich first should help those left behind”. It’s noble thinking but unfortunately, one can never underestimate human greed in this capitalistic world.

This article was written by Justin Low at www.forexlive.com.