Sou Hu Cai Jing·2025-12-07 09:50Core Viewpoint - The current economic growth in China is primarily driven by improvements in production efficiency, which lays the foundation for the revaluation of RMB assets and a stronger exchange rate [3]. Group 1: Economic Growth and RMB Valuation - The majority of the approximately 5% economic growth in China over the past two years has come from enhanced production efficiency rather than simple capital expansion [3]. - The improvement in the quality of growth is expected to lead to a revaluation of RMB assets, providing solid fundamental support for the appreciation of the RMB exchange rate [3]. Group 2: Policy Recommendations - Short-term focus should be on stabilizing the real estate market and local finances to prevent deterioration that could drag down the economy, requiring corresponding policy support [3]. - In the long term, it is essential to utilize the current adjustment period in the real estate market to address housing issues for certain groups, thereby stimulating domestic demand and alleviating pressure in the real estate sector [3]. - A critical task is to "activate the stock," meaning effectively utilizing existing state-owned asset stock to support low-income group consumption and fill social security funding gaps [3]. Group 3: Expected Outcomes - Progress in the aforementioned areas is anticipated to not only achieve actual economic growth but also restore "nominal growth" to normal levels, promoting a more resilient and sustainable appreciation phase for the RMB exchange rate [3].