Chinese economy: China will “absolutely not experience a hard landing” says chief economic planner Xu Shaoshi
Despite lingering concerns of a slowdown in the Chinese economy, China’s chief economic planner has said it will "absolutely not experience a hard landing".
Growth forecasts for the Chinese economy have been cut, but any predictions of a hard landing are "destined to become nothing", Xu Shaoshi, head of China’s state planning agency, has said.
A hard landing is a sharp slowdown after a period of robust growth.
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“I can say, China’s economy will absolutely not have a hard landing,” Xu said. “The so-called predictions for a hard landing will definitely come to nothing. Please rest assured, this possibility does not exist.”
However, the chairman of the National Development and Reform Commission did accept that there are a series of challenges facing the world's second largest economy.
"First, we estimate the slow recovery and low growth rates in the world's economy will continue for a period of time," he told reporters on the sidelines of the People's Congress, according to reports.
"Also we could not overlook the risks from unstable [global] financial markets, falling prices of commodities and risks of geopolitics,” he added.
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On Saturday, Premier Li Keqiang said in a report to the annual National People's Congress that forecasts for growth had been lowered to a target of 6.5 to 7 percent for this year.
Last year China’s growth slowed to a 25 year low of 6.9 per cent.
But Xu said that China would remain stable and is confident about China’s prospects for development.