China insists growth target will be met despite slump

Speaking at World Economic Forum, Chinese premier admits hitting economic targets will be a difficult process.

    The Chinese economy has been rattled by a slump in stock prices [Reuters]
    The Chinese economy has been rattled by a slump in stock prices [Reuters]

    Chinese Premier Li Keqiang has said his country is on track to hit its seven percent growth target despite difficulties brought on by a slump in the country's stock market. 

    Counting the Cost - Black Monday: The great fall of China

    However, speaking at the World Economic Forum in the Chinese city of Dalian on Thursday, Li admitted the target would be hard to achieve.

    Al Jazeera's Adrian Brown, reporting from Beijing, said Li appeared to be under pressure and looked nervous in front of the audience comprised of business and political leaders from around the world.

    "His message was one of reassurance... He said China will achieve its economic growth target of seven percent, and gave categoric assurances," Brown said. 

    "Overall, the Chinese premier wanted to give the illusion at least that China's economy was still stable - but these are difficult times."

    Stock market slump

    China's stock market began a sharp slump in June with the Shanghai composite, the country's main benchmark, sliding from a peak of 5,166 points to a low of 2,927 points in August.

    Global markets have responded negatively to the fall, and China has sought to reassure international investors by pumping $100bn of cash into banks in the hopes of helping spur the economy.

    The world's second largest economy's central bank has also devalued its currency, the yuan, in the hopes that it would boost exports and encourage Chinese consumers to buy locally produced products.

    Despite some fears of a global currency war, Li said on Thursday that China had no interest in such an event and that countries should instead boost economic cooperation as the global economy remains sluggish.

    SOURCE: Al Jazeera and agencies


    YOU MIGHT ALSO LIKE

    Interactive: Plundering Cambodia's forests

    Interactive: Plundering Cambodia's forests

    Meet the man on a mission to take down Cambodia's timber tycoons and expose a rampant illegal cross-border trade.

    The priceless racism of the Duke of Edinburgh

    The priceless racism of the Duke of Edinburgh

    Prince Philip has done the world an extraordinary service by exposing the racist hypocrisy of "Western civilisation".

    China will determine the future of Venezuela

    China will determine the future of Venezuela

    There are a number of reasons why Beijing continues to back Maduro's government despite suffering financial losses.