Chinese leaders pledge steady economic growth

China will maintain steady economic policies in 2013, leaving room for manoeuvre in the face of global risks while deepening reforms to support long-term growth, the official Xinhua news agency said after a policy-setting conference yesterday.

Chinese leaders have already pledged to ensure stable economic growth next year and the latest announcement follows a report that the country’s leaders were likely to stick with a growth target of 7.5 per cent next year – the same as in 2012.

Experts say new Communist Party chief Xi Jinping needs to take bold steps in enacting economic reforms that could include restructuring how China achieves its growth. They say this would be partly by emphasising consumption over investment and exports, and loosening the dominance of state companies.

China will ensure appropriate growth in bank loans and social financing in 2013 and will keep the yuan currency stable to cushion the economy against global headwinds, Xinhua said after the close of the annual Central Economic Work Conference, over which Xi presided.

Xinhua said: “China will continue to implement the pro-active fiscal policy and prudent monetary policy in 2013. The proactive fiscal policy will be combined with tax reforms and structural tax cuts and the prudent monetary policy will pay attention to dynamism.”