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