Xi and Li roll out the red carpet for heads of international economic organizations
China is a force for global economic stability.
That was the message that Xi Jinping and Premier Li Qiang conveyed during a series of roundtable meetings with the heads of 10 major international economic organizations on Monday and Tuesday in Beijing.
Some context: The meetings expand on the "1+6" mechanism China initiated in 2016, in which the Premier discusses China's economic strategies and global challenges with the leaders of six major international economic organizations. The “1” stands for China, while the “6” represents the:
- World Bank
- International Monetary Fund (IMF)
- World Trade Organization (WTO)
- International Labour Organization (ILO)
- Organisation for Economic Cooperation and Development (OECD)
- Financial Stability Board (FSB)
More context: This year, Xi Jinping participated in the discussions for the first time, with four additional organizations joining the mechanism:
- UN Conference on Trade and Development (UNCTAD)
- Asian Infrastructure Investment Bank (AIIB)
- Bank for International Settlements (BIS)
- New Development Bank (NDB)
During the meetings, Li pledged an all-out effort to fix China's demand-side woes (Xinhua 1):
- "We will…make every effort to expand domestic demand and boost consumption."
Li reaffirmed China's dedication to economic opening, highlighting plans to introduce "more unilateral opening-up policies."
- Xi emphasized the country's “unswerving commitment to continued opening” while defending Chinese interests in the face of US pressure (Xinhua 2).
Get smart: Unilateral economic opening would serve as a powerful hedge against the rising wave of global protectionism, fostering goodwill among trading partners while bolstering China's economy.
Get smarter: If China really wanted to bolster global economic stability, it would extend unilateral trade openings to its economic rivals and the world's most developed nations.
- But we're not holding our breath for that.