China sets 5% growth goal, toughens talk on Taiwan

  • 6 months ago
China will target economic growth of around 5% this year as it works to transform its development model, curb industrial overcapacity, defuse property sector risks and cut wasteful local government spending, Premier Li Qiang said on Tuesday. - REUTERS
Transcript
00:00 China has set its growth target for the year at 5 percent and warned hitting it won't be
00:06 easy. The goal was revealed as the annual meeting of the country's parliament got underway.
00:12 Premier Li Chang spoke in the cavernous Great Hall of the People on Beijing's Tiananmen
00:17 Square.
00:18 "These expected targets are proposed taking into account both domestic and international
00:27 situations and various factors. Achieving these targets this year is not an easy task.
00:33 It requires focused policies, doubled efforts in work and concerted efforts from all sides."
00:41 The target is similar to last year's, but faces even stronger headwinds. China started
00:47 the year with a stock market rout and deepening deflation. A property market crisis only seems
00:54 to get worse, with giant developer Evergrande told to liquidate. And a sputtering economic
01:00 recovery has laid bare deep-seated structural problems, including feeble household consumption.
01:07 On Monday, Li vowed to transform the country's growth model. He said Beijing would curb industrial
01:13 overcapacity, tackle the property crisis and address risks over massive municipal debts.
01:20 He will also pour money into tech innovation and advanced manufacturing.
01:25 But investors were disappointed by the lack of detail on what all that might mean in practice.
01:30 Hong Kong's benchmark Hang Seng index slid over two percent following Li's outlook. Analysts
01:36 still bet the country will have to lower its growth targets in the future, pointing to
01:41 pressures including China's falling population.
01:45 Also Monday, Li flagged another rise in defence spending and toughened rhetoric toward Taiwan.
01:52 His report to Parliament dropped all mention of "peaceful reunification" with the island,
01:57 which Beijing views as a breakaway province. Instead, it promised to "resolutely oppose"
02:04 any move towards Taiwan independence.
02:07 [BLANK_AUDIO]

Recommended