BEIJING:  , President Xi Jinping said China will put in place “more proactive” macroeconomic policies next year, state media reported, as he addressed a top political advisory body on Tuesday ( Dec 31 ).
This year, the nation has struggled to recover from a fall brought on by a property market problems, poor consumption, and skyrocketing government debt.
In recent months, Beijing has announced a number of aggressive measures intended to boost growth, including lowering interest rates, removing home buying restrictions, and lowering the stress of local governments ‘ loan.
However, economists have cautioned that more strong fiscal stimulus is required to stabilize the country’s economy.
” We must… further comprehensively deepen reform, expand high-level opening up, better coordinate development and security, ( and ) implement more proactive and effective macroeconomic policies”, state broadcaster CCTV quoted Xi as telling the National Committee of the Chinese People’s Political Consultative Conference at a New Year’s tea party.
Afterwards, in a televised talk addressed to the region, Xi admitted there were still obstacles ahead.
He said,” The current economic operation faces some new situations, challenges from the uncertainty of the external environment, and pressure to change from old growth drivers to new ones, but these can be overcome with hard work.”
Beijing is aiming for development of 5 % this year, a goal that many leaders have expressed confidence in achieving, but many economists predict it will be far below.
Xi reiterated on Tuesday to the National Committee that” the new superior performance continues to grow, and the annual GDP is anticipated to increase by about 5 %.”
The International Monetary Fund projects that China’s economy will grow by 4.8 % this year and 4.5 % the following year.