China's economic growth remains sustainable
Tuesday, 19 June 2007
SHANGHAI, June 18 (AFP): China's double-digit economic growth remains sustainable with the rapid expansion expected to continue over the next few years, state media reported today, citing a senior government adviser.
China's economy has kept growing at double-digit rates for many years, which is sustainable and it "will not slow down abruptly", the Shanghai Securities News quoted Fan Gang, a member of the central bank's monetary policy committee.
Speaking a forum in Tianjin in northern China, Fan said the ongoing economic reforms were the main driver of China's remarkable transformation.
Fan said that the risks and challenges facing the Chinese economy, such as overheating, would not derail the robust expansion.
For one, urbanisation of the country's some 800 million farmers would help boost domestic demand in the form of greater infrastructure investment.
Investments in education, scientific research and development would help ensure that growth continues ahead, he added.
China, the world's fourth largest economy, has been expanding at a blistering pace since Beijing kicked off economic reforms and opened the country up to the rest of the world starting in the late 1970s.
The nation's gross domestic product soared 11.1 per cent on year in the first quarter, far above an 8.0 per cent full-year target set by the government and the 10.7 per cent gain chalked up in 2006.
Fan's views come after data last week showed exports booming, production rising and inflation ticking higher, prompting Premier Wen Jiabao to say that the economy had to be cooled down.
Monetary policy will be "moderately tightened" to ensure stable growth, Wen told a cabinet meeting, with his comments widely expected to translate into a fresh round of interest hikes, among other measures.
China's economy has kept growing at double-digit rates for many years, which is sustainable and it "will not slow down abruptly", the Shanghai Securities News quoted Fan Gang, a member of the central bank's monetary policy committee.
Speaking a forum in Tianjin in northern China, Fan said the ongoing economic reforms were the main driver of China's remarkable transformation.
Fan said that the risks and challenges facing the Chinese economy, such as overheating, would not derail the robust expansion.
For one, urbanisation of the country's some 800 million farmers would help boost domestic demand in the form of greater infrastructure investment.
Investments in education, scientific research and development would help ensure that growth continues ahead, he added.
China, the world's fourth largest economy, has been expanding at a blistering pace since Beijing kicked off economic reforms and opened the country up to the rest of the world starting in the late 1970s.
The nation's gross domestic product soared 11.1 per cent on year in the first quarter, far above an 8.0 per cent full-year target set by the government and the 10.7 per cent gain chalked up in 2006.
Fan's views come after data last week showed exports booming, production rising and inflation ticking higher, prompting Premier Wen Jiabao to say that the economy had to be cooled down.
Monetary policy will be "moderately tightened" to ensure stable growth, Wen told a cabinet meeting, with his comments widely expected to translate into a fresh round of interest hikes, among other measures.