Central News Agency reported on July 23 that with a growing sense of anxiety and uncertainty, China’s Gen Z is no longer squandering their monthly salaries. Many save more than 50% of their income to avoid being caught off guard by sudden emergencies such as layoffs and the epidemic.

According to a survey conducted by online technology news platform youth36K, 40% of 2,200 respondents under 40 say they plan to save monthly. Only 6.9% say no.

17.5% of respondents rate their financial situation as very bad. Nearly half say they could barely make ends meet. Just over 10% say if they are suddenly laid off, their current savings could last one month, 22.4% could last 6 months, and 18.1% could last 6 to 12 months.

The latest quarterly survey released by the People’s Bank of China shows a record 58.3% of the public say they would rather save more in the second quarter of this year. At the same time, the nation witnessed near-to-nothing economic growth with only 0.4% in the second quarter.

The year 2022 sees nearly 11 million graduates from colleges and universities in China, breaking an all-time record. In June, the unemployment rate among 16-24-year-olds was as high as 19.3%. In other words, one in 5 Chinese youngsters is jobless.

Jenny Luo, a 25-year-old saleswoman in Guangzhou, says she began to feel anxious in March this year when many of her peers and friends were suddenly fired. Besides, others had their salaries cut overnight. She is afraid she will be the next to lose her job. 

Jenny Luo adds that she and her sisters used to have a cup of milk tea every other day, but now they reduce it to once a week.

Ji Xu, 24, a bank employee, lives with his parents in Tianjin. He invests 50% of his monthly salary in financial products. He says he needs to save his monthly salary and manage his finances to cope with future emergencies.

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