China plans to spend at least $1 trillion in the next five years to become a “sports powerhouse,” officials announced Thursday, as Beijing bets that more outdoor sporting events can stimulate sluggish domestic consumption.
Along with widespread renovation of sporting facilities, the push aims to root out the corruption and “toxic fan culture” limiting public enjoyment of sporting events.
China also hopes to encourage more citizens to exercise, thereby making an aging populace more active and reducing strain on the health system.
A persistent weakness in China’s growth model, consumer spending weakened in July; Beijing rolled out new loan interest subsidies to try to spur demand — though ING analysts suggested their impact would be “relatively marginal.”