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Chinese economy not in crisis: expert

(Xinhua) Updated: 2016-01-20 10:26

PRETORIA -- China is not facing an economic crisis but adjusting its economic structure, a Chinese expert said on Tuesday.

"There is a global slowdown in the market and China is part of the world facing those challenges and risks. The economic slowdown would facilitate industrial structure to adjust demand to supply," said Gu Hailiang, Deputy Chair of the State Committee of Social Sciences at the Chinese Ministry of Education.

He was responding to questions about the Chinese economic slump after his keynote address at the 3rd China-Africa Dialogue in Pretoria.

"The economic slowdown would facilitate industrial structure to adjust demand to supply. It is actually giving us space to breathe and make changes in our economy," Gu said.

The economy is on the adjustment period after running wild and now recovering its strength, he said.

"This does not equalize to reduction in outbound investment in Africa and other parts of the world,"said Gu.

China, he said, is facing the global challenges like other countries but the country maintains control of what is happening.

Gu said the slowdown in the Chinese growth should not be misinterpreted and there is no need to press the panic button.

China's trade relations with other countries would not be negatively affected by the slowdown, he said.

Bilateral relations with South Africa and other countries would remain in place, Gu added.

While there is a drop in commodity prices, China would review and see which commodities it can buy or will not buy, he said.

Gu however stated that China won't be reducing its commitments towards South Africa, Africa and global partners.

Gu said the future of China-South Africa cooperation is bright despite challenges.

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