Time for China to move past GDP growth targets

Sometimes, good news on China’s economy is actually bad news for the broader global economy and financial system. The reference here is to the suspense surrounding Beijing’s highly anticipated annual gross domestic product (GDP) target.

This market ritual is playing out again this week as the “Two Sessions” meetings as part the National People’s Congress that convenes and offers details – or at least smoke signals – on economic priorities heading into 2025.

None matters more in investment circles than Beijing’s GDP target. And that’s too bad, for it’s high time for China to stop issuing one altogether, particularly as President Xi Jinping faces perhaps the most challenging economic moment of his decade-plus leading the Communist Party.