Macroeconomic indicators - China targeting 7pct GDP growth in next 5 years

Monday, 28 Feb 2011 by DJ

Chinese Premier Mr Wen Jiabao said that the government is to set its target for average gross domestic product growth for the 2011-2015 period at 7%, highlighting the shift of the country's concentration on economy development from speed to quality.

The comments, made by Mr Wen during an online chat with Internet users, comes ahead of China's annual parliament session of National People's Congress starting March 5 when China will approve economic policies for the year. The NPC this year will also approve the economic development guidance for next five years.

Mr Wen stressed the importance of people's living standard and the environment protection. He said “We'll never seek a high economic growth rate and size at the price of the environment, as that would result in unsustainable growth with industrial overcapacity and intensive resource consumption.”

Mr Wen admitted that restructuring the growth pattern will not be easy. He said “We need to make every local government know that the key impetus of economic growth lies in scientific and technological progress and in boosting domestic consumption.”

Mr Wen said the central government would adopt new performance evaluation criteria for local governments and give more weight to efficiency, environment protection and living standards.

Investors are paying close attention to China's economic growth target as they try to get a hint of the government's policy direction. The target lower than the 7.5% for the previous five years, is delivering a message that China will focus on raising the quality of economic growth.

Macroeconomic indicators - China stresses for economic stability in 2011

Wednesday, 23 Feb 2011
Xinhua reported that China top leading body Monday pledged to prevent wild swings in the economy while warning that the economic situation in 2011 would be complicated.
The Political Bureau of the Communist Party of China Central Committee decided at a meeting presided over by President Mr Hu Jintao who is also General Secretary of the CPC Central Committee said the country should maintain stable and consistent macro-economic policies while improving accuracy, flexibility and efficiency of the policies.
Officials at the meeting were urged to remain sober be aware of difficulties, and work hard to fulfill the tasks this year so as to create a good beginning for the 12th Five Year Plan (2011-2015).
The top echelon of leadership reassured that China would continue an active fiscal policy and prudent monetary policy while trying to balance steady economic growth with economic restructuring and control of inflationary expectations.
The Political Bureau of the CPC Central Committee urged at the meeting said "It is necessary to maintain stable commodity prices, expand domestic consumption, increase investment in agriculture, speed up industrial restructuring, promote education and development of science and technology and improve people livelihoods and cultural services."
It also reiterated the importance of making great efforts to expand reforms in key sectors, advance the cause of opening-up, while intensifying endeavor to build a clean government and fight corruption.
Members of the Political Bureau of the CPC Central Committee also discussed the drafts of the government work report and the 12th Five-Year Plan (2011-2015). The two documents will be submitted to the top legislature for discussion and approval at its forthcoming annual session in March.
Statement from the meeting said the period from 2011 to 2015 will be critical for China which wants to build a well-off society. In the next five years in a bid to meet Chinese people expectations for a better life, China will stick to scientific development by focusing on accelerated transformation of its way of economic growth while deepening the reform and opening-up, guaranteeing and improving people livelihoods.
The statement said "It is necessary to solidify and boost China success in outperforming other countries in dealing with the international financial turmoil and advance the economy to grow at a faster and steady pace for a long time while guaranteeing social harmony and stability."
(Sourced from Xinhua)