China is planning to take more actions to invigorate domestic demand in rural areas, as it has broad development room and plays a significant role in stabilizing economic growth, an official told a press conference on Thursday.
Consumption in rural areas has great potential, said Zeng Yande, an official with the Ministry of Agriculture and Rural Affairs, adding that the per capita consumption expenditure of rural residents stood at 16,600 yuan (about 2,406.3 U.S. dollars) in 2022, accounting for only two-thirds of the national average.
To expand consumption, efforts should be made to create jobs and improve the income of rural residents, said Zeng, noting that measures will be taken to develop rural industries with distinctive characteristics.
Urban-rural economic circulation should also be smoothed to increase consumption of durable goods such as furniture and home appliances, as well as expand service consumption in rural areas, he said.
Zeng went on to add that around 15 trillion yuan of investment demand in the agricultural sector and rural areas will be released in the next five to 10 years.
Governmental and social investment should be coordinated so that more funds can be channeled into high-standard farmland, warehousing and cold chain logistics, modern facility agriculture, and improving the rural living environment, he said.