China's growth rate of 5.3% in the first quarter of this year may have beaten expectations, but the country’s leader Xi Jinping continues to struggle with overall economic management.
Many once thought that it was only a matter of time before China’s economy overtook that of the United States, but the post-pandemic slowdown has raised doubts about this trajectory. China is facing a prolonged real estate recession, hidden local debt problems and low business and household confidence as well as concerns about deflation and overcapacity.
It would be unfair to blame the Xi administration alone for these problems, as it inherited several negative legacies from preceding governments.