Beijing, China – February 6: The Chinese President Xi Jinping (C) speaks in the large hall of the people during a bilateral meeting with Brunei Sultan Hassanal Bolkiah (not shown) on February 6, 2025 in Beijina.
Andres Martinez Casares | Getty Images News | Getty pictures
Chinese President Xi Jinping gave a speech on a symposium with prominent entrepreneurs on Monday. State Media Xinhuasignals a shift towards new support for the private sector.
The meeting sends the private entrepreneur of the private sector a “very clear signal for support at the highest level”, Peiqian Liu, Asia economist at Fidelity International, told CNBC.
“It could possibly be even stronger than fiscal stimulus if the political decision -makers should support the development of the tech sector in China,” added Liu.
Beijing has dealt with poor domestic consumption, a longer real estate slump and an external headwind such as tariffs for its exports.
The meeting could “mark a symbolic turning point for the Chinese technology sector after years of increased examination,” said Lynn Song, Chief Economist at LNG and emphasized the time of this meeting.
It could mean that “the overarching overhang we have in the past two years has ended,” said Andy Maynard, managing director and head of the shares at China Renaissance.
Reuters reported last week that Alibaba’s founder Jack Ma could be among the entrepreneurs who were invited to the meeting. MAS Potential return to the limelight could expect Beijing to strengthen his approach to large technology companies, said Maynard.
At the end of 2020, Beijing was conducting a regulatory storm against the country’s large technology companies because they became too big and powerful.
The CSI 300 index of the Chinese mainland has hardly been changed according to the news.
