"China's Two Sessions: Unveiling Stimulus and Economic Plans"

China's parliament is expected to unveil moderate stimulus plans to stabilize economic growth at its annual meeting, with Premier Li Qiang likely to set a growth target of around 5% for 2024. However, bold reforms to address deep structural imbalances are unlikely to be rolled out, as the focus is on near-term support for the sputtering economy. The expected stimulus measures include more fiscal stimulus, special sovereign bonds issuance, and continued investment in tech innovation and advanced manufacturing. Despite calls for bold reforms to boost household demand and tackle municipal debt, the NPC is not the traditional venue for sharp policy shifts, and any major reforms may be deferred to a later plenum event.