China’s top leaders reiterate support for Covid Zero, roll out more measures to stabilise jobs

CHINA’S top leaders reiterated their support for its Covid Zero strategy, even as virus lockdowns strain the economy, reported CCTV.

The nation will speed up measures to tackle regional outbreaks, noted a meeting of the Politburo’s Standing Committee that was chaired by President Xi Jinping, CCTV said on Thursday (May 5). China has made progress in overcoming challenges from the latest virus resurgence, the worst since the Wuhan outbreak, the meeting noted.

The comments follow remarks from White House Medical Adviser Anthony Fauci who said China’s virus lockdowns are unlikely to be successful in the long term.

China will “resolutely fight against any speech that distort, question or reject” the country’s Covid control strategy”, remarks from the meeting showed. The Standing Committee also called for ensuring the supply of daily necessities to residents and meeting their needs to see doctors during outbreaks.

China is facing increasing criticism and public discontent over its lockdown measures to contain outbreaks across cities and provinces. While cases in Shanghai fell slightly on Wednesday, new infections in Beijing held steady.

The country will roll out more support measures to help small firms and stabilise employment, including the introduction of policies to support the platform economy as soon as possible, state TV cited the country’s cabinet as saying on Thursday.

China’s economy has slowed sharply in the second quarter this year, as local authorities raced to stop the spread of record Covid-19 cases, which have led to a full or partial lockdown in dozens of Chinese cities, including a city-wide shutdown in the commercial hub of Shanghai in April.

The official jobless rate hit 5.8 per cent in March, a near 2-year high.

While acknowledging firms are facing more difficulties, the government will follow through on its planned tax cuts and ensure value added tax (VAT) credit rebates will be returned to qualified companies by the end of June, according to a State Council meeting chaired by Premier Li Keqiang.

SEE ALSO

Beijing will roll out more support measures to stabilise jobs

More financial help would also be provided, as policymakers urge financial institutions to extend loan repayment and exempt default interest rates for small firms, the meeting said.

To help the foreign trade sector, which is a key source of jobs, the government will focus on securing foreign orders, keeping the yuan basically stable and providing more loans for trade firms, the meeting said.