‘Let the rich spend’: China told to ease property curbs to spur consumption

A high-level Chinese official has called for easing property and other market restrictions to boost spending among the wealthy, as Beijing steps up efforts to stimulate consumption amid deflationary pressures.

“Let the rich spend. This is the most direct [approach],” said Yin Yanlin, who was deputy director at the Office of the Central Financial and Economic Affairs Commission, a party organ overseeing economic policy, from 2018 to 2023.

Yin, now a senior economic adviser in the Chinese People’s Political Consultative Conference, made the comments at a Peking University organised seminar on Thursday, where he outlined the challenges of deepening reform.

Spending by affluent groups can drive market demand and generate income growth, setting off a positive cycle, he said. One of the most important tools to boost consumption lies in removing restrictions, such as those on property and vehicle purchases.

Major Chinese cities have relaxed home-purchase restrictions in recent years to support their struggling property markets. Even the capital Beijing, long known for its caution, further eased controls in its outlying districts last week.

Yin said certain restrictions have constrained diversified consumption and weakened domestic demand. Income levels are not the main impediment, he stressed, noting that the country’s savings have been rising.

In the first seven months of 2025, savings in China increased by over 18.4 trillion yuan, including nearly 9.7 trillion yuan (US$1.35 trillion) from households, according to central bank data.

South China Morning Post