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Advisers: Dual circulation key to China's development

By Chen Jia | chinadaily.com.cn | Updated: 2021-03-03 21:24
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Sustainable growth

Research led by Yang concluded that in the next 15 years, annual GDP growth should reach at least 4.73 percent on average and that given the current circumstances, only by forming a new development paradigm can China maintain sustainable growth and realize this goal. The findings were reported by the China Wealth Management 50 Forum think tank. 

Liu Shijin, deputy director of the Economic Affairs Committee of the CPPCC National Committee, suggested that establishing a new system of key economic gauges, in which the employment index should be at the center, as the final target of stabilizing the economy, would guarantee sufficient employment.

"We may adopt other indicators, including the per capita income, inflation, the macro-leverage ratio and total factor productivity. In particular, carbon emissions per unit of GDP is also important," said Liu.

"But setting a GDP (growth rate) target is still necessary. Last year, China adopted expansionary monetary and fiscal policies. But as the economy is gradually recovering, the macroeconomic policies will get back to a normal stance, and the policy shift should be smooth and moderate," Liu added.

Zhu Guangyao, former vice-minister of finance, projected that China will join the group of high-income countries if it maintains an average annual GDP growth rate in excess of 5 percent, meaning that it will emerge from the so-called "middle-income trap". 

"China's economic development is bound to promote the improvement of people's living standards and make our contribution to the development of the global economy," he said at a seminar held by China.com.cn.  

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