labels: economy - general
China targets 8-per cent GDP growth in 2007 news
05 March 2007

Beijing: China today has set a lower GDP growth rate of 8 per cent for 2007, down from the 10.7 per cent achieved in 2006. The lower rate is "to ensure that the economy expands soundly and at a sustainable rate".

A World Bank report, released last month, predicted a 9.6 per cent growth in China's economy this year.

Chinese Premier Wen Jiabao announced the lower GDP growth target in a state-of-the-nation address delivered to 2,890 members of the China's tenth National People's Congress (NPC), its fifth session session.

Premier Wen told the delegates that the country needed "to greatly improve the quality and efficiency of economic growth." He said the target was set after taking into consideration all factors, along with goals of employment and increase in consumer prices among others.

"The most important task for us is to promote sound and fast economic growth," he said adding, the target can also help ensure a smooth economic growth and avoid major ups and downs.

Zhao Peng, deputy president of the National People's Congress and president of the Anhui provincial branch of the Industrial and Commercial Bank of China, said the target was reasonable. "The higher growth rate will lead to overheating and a lower one is less helpful in resolving social problems," Zhao said.

Another deputy, Chen Derong, who is also the mayor of Jiaxing, said that the goal will be good for shifting the focus of local governments from blind economic competition to structural optimisation of industries, improvement of efficiency and energy saving.

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China targets 8-per cent GDP growth in 2007