CHINA-ECONOMY: DEBATE ON GOVERNMENT MENTIONING GROWTH RATE TARGET

In the wake of the unprecedented economic damage caused by the Coronavirus, debate has been intensifying in China as to whether China should set a growth target this year. A prominent adviser to China’s central bank has suggested the government drop a specific growth target for 2020. Ma Jun, an academic member of the People’s Bank of China’s monetary policy committee, told the state-owned Economic Daily that “China can hardly achieve the 6 per cent target because of the coronavirus pandemic. It is also hard to maintain 4-5 per cent growth … because it will largely depend on how the pandemic develops in Europe and the United States.” In contrast, Yu Yongding, one of China’s most influential economists and a former central bank adviser, recently (April 3) added his voice to the discussion, urging the government to stick with its tradition of issuing a numerical goal for expansion in gross domestic product (GDP), even if it is a low one. The government has not officially released its GDP growth target for 2020.







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