“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.
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.