China’s consumer inflation rate slowed to 0.3% year-on-year in October, down from 0.4% in September, according to the National Bureau of Statistics (NBS), signaling continued weak demand in the world’s second-largest economy.

The October figure fell below Bloomberg’s forecast of 0.4% as China grapples with economic challenges, including a prolonged property crisis that has shaken consumer confidence.

As many Western nations contend with high inflation, China faces the opposite issue: low or negative prices. At the end of 2023, China entered a four-month deflationary period, marking the sharpest drop in consumer prices in 14 years. Factory-gate prices continued to decline in October, falling 2.9% year-on-year, following a 2.8% drop in September.

The data was released as Chinese lawmakers announced a new plan on Friday to lift local government debt and increase public spending.

Since September, Beijing has introduced measures such as rate cuts and easing home purchase restrictions to revive economic activity, though analysts have expressed concerns about the lack of specifics.

Despite Premier Li Qiang’s optimism about achieving the government’s 2024 growth target of around 5%, China’s third-quarter growth rate was the slowest in a year and a half. The prospect of former U.S. President Donald Trump’s return to the White House also poses risks, as he has vowed to impose tariffs on Chinese imports.