NDRC- Please Be Confident in China’s Economy.doc

NDRC: Please Be Confident in China?s Economy 2012 was considered “a very difficult year” by the World Bank. Against the complicated domestic and foreign economic background, some Chinese and foreign institutions hold a pessimistic opinion towards the Chinese economy. How to look at China?s current economic situation? Will the economic growth rate have quarterly decrease? Will big changes happen to the basic elements of China?s economic development? And can China keep its stable and fast economic growth? For these four questions, Li Pumin, deputy secretary-general of the National Development and Reform Commission (NDRC), gave out his own opinions. Right Understanding of Slowed GDP Growth The year of 2011 was the first year of China?s 12th Five-Year Plan. In Li Pumin?s opinion, the economic development of China in 2011 had several highlights, one of which was the 9.2% economic growth rate. When talking about the lowered economic growth rate, he stressed that correct analysis and understanding are necessary to hit the core of the problem. In 2011 the Chinese government laid the emphasis of macroeconomic policies on changing economic structure, transforming development pattern, controlling commodity price and improving people?s livelihood. The eased economic growth was somewhat the result of active macroeconomic control. Li Pumin said that the GDP growth of China still maintained the development trend in the 30 years after the reform and opening up. The international institutions forecast that the global economic growth rate was about 3% last year, one third of the China?s economic growth. China still ranked No. 1 among the major economies in growth rate. Efficient Economy Improved People?s Livelihood Li Pumin said that the GDP growth rate in 2011 was lower than the one in 2010, but the financial income and major enterprises? profits still grew at a fast pace. According to the statistical data from the National Bureau of Statistics, the industr