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China says it sees a “favorable” economic trend despite pitfalls

The main conductors of Chinese economic policy have displayed Wednesday their confidence as to à a recovery of the Asian giant this year, despite headwinds which continue to hamper its growth.

Thousands of MPs are gathering this week in Beijing for the annual session of Parliament. It is traditionally the opportunity for the government to present the broad outlines of its social and economic policy for the year.

“The favorable conditions for China's economic development outweigh the unfavorable factors,” said Wednesday at a press conference organized on the sidelines of the event Zheng Shanjie, the chief planner of the national economy.

“The trend of economic recovery will be consolidated and strengthened,” said Mr. Zheng, who is the chairman of the National Development and Reform Commission (NDRC), China's macroeconomic management agency.

He was alongside the elite of national economic leaders, with the Minister of Commerce (Wang Wentao), that of Finance (Lan Fo'an), the governor of the central bank (Pan Gongsheng) and the head of the authority of regulation of markets (Wu Qing).

This year's parliamentary session is particularly scrutinized by the press, investors and ordinary Chinese, many of whom believe that their power to The purchase has been started in recent years.

They are waiting for reassuring signs for the second largest economy in the world, struggling with a real estate crisis, exports in Bern, low consumption and high youth unemployment.

– “Manipulation” –

“We We are also fully aware that in the process of achieving the expected goals, we will still face many challenges and difficulties” in 2024, said Zheng Shanjie.

Commerce Minister Wang Wentao expressed concern on Wednesday about “downward pressures” on global growth.

China says it sees a “favorable” economic trend despite pitfalls

The major national economic leaders, Zheng Shanjie, chairman of the National Development and Reform Commission (NDRC), the Minister of Commerce (Wang Wentao), the Minister of Finance (Lan Fo'an), the governor of the central bank ( Pan Gongsheng) and the head of the market regulatory authority (Wu Qing), during the annual session of Parliament, in Beijing on March 6, 2024 © AFP – WANG Zhao

Exports, which are generally a very important growth lever for the Chinese economy, fell last year for the first time since 2016.

A consequence of the drop in global demand for Chinese goods, in a context of inflation in developed economies, but also to a lesser extent of Beijing-Washington friction.

< p>In this context, China is struggling to boost its growth.

This gloom has repercussions on the Chinese stock markets, which have generally been on a downward trend for many months.

“Decisive measures must be taken to correct market failures,” warned Wu Qing, the head of the market regulatory authority, criticizing “brutal and irrational fluctuations”.

– Press point canceled –

“Cases of market manipulation (…) must be severely repressed”, he said. he insisted, promising to “tackle any irregularity”.

These remarks imply an upcoming turn of the screw and are not likely to reassure foreign investors , already scalded by geopolitical tensions.

Premier Li Qiang on Tuesday set a target of “around 5%” growth in Chinese GDP this year.

This rate would make many developed nations dream, but for China it remains far from the dazzling expansion that has propelled it in recent decades to the heights of the world economy.

This GDP increase objective is also identical to that of last year. If it remains one of the lowest since the 1990s, it will nonetheless be “difficult to reach”, admitted Li Qiang.

China announced this week that its Prime Minister will not organize a press conference at the end of this parliamentary session, breaking with a tradition well-established for three decades.

However , Foreign Minister Wang Yi will answer journalists' questions as planned during a meeting scheduled for Thursday at 10:00 a.m. (02:00 GMT).

All rights of reproduction and representation reserved. © (2024) Agence France-Presse

Teilor Stone

By Teilor Stone

Teilor Stone has been a reporter on the news desk since 2013. Before that she wrote about young adolescence and family dynamics for Styles and was the legal affairs correspondent for the Metro desk. Before joining Thesaxon , Teilor Stone worked as a staff writer at the Village Voice and a freelancer for Newsday, The Wall Street Journal, GQ and Mirabella. To get in touch, contact me through my teilor@nizhtimes.com 1-800-268-7116