|
Chinese economy sets for soft landing in 2005: ADB
(Xinhua)
Updated: 2004-09-22 22:05
China will succeed in cooling off an overheated economy and achieve a soft
landing, according to a major Asian Development Bank (ADB) report released on
Wednesday.
The Asian Development Outlook 2004 Update, which forecasts economic trends in
the region, said China's gross domestic product (GDP) economy is expected to
grow by 8.8 per cent in 2004 and slow to 8 per cent in 2005.
"The rapid pace of investment growth has slowed from the very high levels
experienced in the first quarter of this year, reflecting the gradual impact of
policy-tightening measures," said Bruce Murray, resident representative of ADB
Resident Mission in China, at a press conference.
Inflation is expected to moderate from slightly around 5 per cent in
mid-2004, and consumption is expected to increase by 13 per cent in 2005
supported by higher urban and rural incomes, he said.
"China's rapidly growing markets are providing opportunities for other
countries, particularly Asian countries, therefore China will remain the leading
destination for global foreign direct investment. Imports will grow faster than
exports in 2005," said Bruce.
According to the report, China has already scored progress in reducing by
half the number of people living below one US dollar per day, and has also made
progress in providing access to basic education and reducing maternity mortality
as well.
The report acknowledged China is an energy-intensive country, which uses more
than three quarters of a barrel of oil for every US$1,000 of GDP, about double
the average of other Asian countries. "More efforts are needed in the areas of
energy efficiency and energy conservation," said Bruce.
More progress is needed in gender issues, HIV/AIDS prevention and control,
safe drinking water in rural areas, child mortality and environmental damage, he
added.
The report suggested that the Chinese government continue its macroeconomic
tightening measures and, in an attempt to avoid a hard landing for the economy,
encourage investment and growth in lagging sectors like agriculture, small and
medium enterprises, the private sector, public health and
education.
| |
 |
|
|
|
|
Today's
Top News |
|
|
|
Top China
News |
|
|
|
|
|
|
|
|
|
