Domestic consumption will drive economic growth
China's economy has enough support to maintain stable, healthy and sustainable development, Chinese President Xi Jinping told Russian media yesterday.
Xi made the remarks during a joint interview with TASS Russian News Agency and the Rossiyskaya Gazeta newspaper on the eve of his state visit to Russia.
Responding to a question on China’s economic outlook, Xi said his country has made remarkable achievements in economic development in the past 70 years since the founding of New China, especially in the past 40 years since the implementation of the reform and opening-up policy.
China is now the world’s second-largest economy, the largest manufacturer, the largest trader in goods, and holder of the largest foreign exchange reserves, he said.
Against the backdrop of a slowdown in the world economy and trade, Xi said, the Chinese economy got off to a good start in 2019 as key indicators were kept in a reasonable range.
In the first quarter, China’s GDP grew by 6.4 percent, sustaining its momentum of steady growth in recent years and representing the 14th consecutive quarter of staying in the 6.4 percent to 6.8 percent range, he said.
“Domestic consumption remained the main driver of growth,” he added.
Xi listed that employment continued to expand, with 4.59 million urban jobs added in the first four months of 2019, personal income grew faster than the economy, and prices were generally stable, with consumer prices posting a modest growth of 2 percent.
Total imports and exports were up by 4.3 percent year on year, and China’s foreign exchange reserves stayed above US$3 trillion, he said.
Apart from all this, Xi said, China is in the process of optimizing its economic structure, transforming the model of development and enhancing the quality and efficiency of economic performance, thus strengthening the momentum of steady and robust growth. The trajectory of China’s economy toward sound and stable growth remains unchanged and will not change, Xi said.
Looking into the future, a number of factors will support the steady, healthy and sustainable growth of China’s economy.
These include abundant human resources, strong internal driving forces, growing development dynamism and mobilization capability, he said.
Therefore, China has all the necessary conditions, capability and confidence to deal with any risks and challenges, Xi said.