China announces plans to get people's spending as new data suggests domestic sales are on the up.

Live from the UK, this is the Marketplace Morning Report from the BBC World Service.

I'm Sarah Rogers in for Leanna Burn. Good morning.

China's leaders have announced what it's calling a special action plan to try and offset the impact of US trade tariffs and boost domestic spending.

Measures include plans to increase incomes and establish a childcare subsidy scheme.

The latest figures from the world's second largest economy indicate things are picking up, though.

From Singapore, here's the BBC, Surinjana-Tawari.

We had some data out today, which include retail sales,

and they show that growth did quicken. Now, as you may know, China's leaders have set a target of

around 5% growth for 2025, quite a tall order given all the challenges in the Chinese economy.

And analysts do say there is a lot of pressure on exports because of those tariffs,

but also the household demand is down and also that protracted property crisis is still causing problems.

There was some data that showed that joblessness has actually risen, especially urban joblessness,

and factory activity was down,

and perhaps because of the Lunar New Year compared to the previous quarter. So still some strains on the economy. Policymakers have put expanding domestic demand as a top priority this year.

Now, they recently held the annual Parliament meeting. Again, boosting

consumption was top priority there as well. And they expanded one scheme that's been quite

successful so far where people can trade in things like washing machines and dishwashers

for newer ones to try and pump up the economy a little bit.

Surinjana Tuari.

Sticking with China, a city in the north of the country is offering families with two children,

massive financial incentives to have a third over concerns about the country's rapidly ageing population.

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