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China: Key Challenges and Strategic Decisions for 2025

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The year 2025 has brought numerous challenges for China with it. The country’s future could be severely impacted by these complications. Xi Jinping, the President of China, will have to make urgent policy decisions to ensure the sustainable rise of China as the global hegemon.

This issue is straining the Chinese’s overall economic efficiency, healthcare services, and pension system. The Xi administration has tried to counter this challenge by encouraging a larger family system and relaxing the one-child policy. However, to date, all such actions have proved to be a futile effort. Economic uncertainties and life inclinations of the Chinese youth make them reluctant to contribute to the government’s efforts against demographic instability. For sustainable economic development and social stability, President Xi Jinping needs to find resilient solutions.

Economic Challenges and the Path Forward

China is also facing significant economic challenges that jeopardize its long-term economic growth outlook. According to the International Monetary Fund (IMF), in 2024, the global economic growth has declined to 2.9 percent. This holds the potential to further exacerbate China’s economic challenges. Although the........

© New Eastern Outlook