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China sets economic growth target of 6.5 percent

By Xin Zhiming | chinadaily.com.cn | Updated: 2018-03-05 07:57
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A worker checks the quality of wind turbine fans in Lianyungang, Jiangsu province.[Photo by Geng Yuhe/for China Daily]

China will continue to pursue stable economic growth this year, setting its GDP growth target at around 6.5 percent and reducing its fiscal deficit ratio target to 2.6 percent, according to the annual Government Work Report to be delivered by Premier Li Keqiang on Monday morning.

Li is scheduled to present the report at the first session of the 13th National People's Congress.

The country will continue to adopt a prudent, neutral monetary policy and a proactive fiscal policy to maintain stable economic growth while taking forceful measures to ward off financial risks, according to the draft report, which was released to reporters ahead of the session.

China's year-on-year GDP growth was 6.9 percent in 2017, higher than the "around 6.5 percent" target set by the government. Analysts generally forecast that growth will ease this year but remain on track.

The fiscal deficit is set at 2.38 trillion yuan ($375.2 billion) this year and the fiscal deficit to GDP ratio is set at 2.6 percent, compared with 3 percent set last year, according to the report.

China will continue to achieve the three major tasks to prevent major risks — mainly financial risks, targeted poverty alleviation and pollution control, the report said.

It said the nation’s consumer inflation target, measured by the consumer price index, is around 3 percent this year — real CPI growth in 2017 was 1.6 percent.

The country aims to create at least 11 million jobs in 2018 and keep the urban registered unemployment rate below 4.5 percent, according to the report. The surveyed unemployment rate should be kept below 5.5 percent.

China will also cut 800 billion yuan in taxes this year, the report said.

The world’s second-largest economy will also implement a long-term mechanism and targeted regulation to stabilize the real estate sector.

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