Key economic indicators point to sound fundamentals, official says

Download

For the first time since the beginning of China's complex economic transition, a government official said on Monday the minimum level of annual economic growth acceptable to the central government is 7 percent.

But based on recent economic data, for August in particular, China is almost certain to be able to achieve growth no lower than 7.5 percent in 2013, Yang Shubing, a senior official at the National Policy Research Office of the State Council, said at a news briefing.

Yang said that in coming years China will have to achieve minimum growth of 7 percent to double the size of the economy from 2010 to 2020, as promised at the 18th Communist Party of China National Congress last year.

Sheng Laiyun, a spokesman for the National Bureau of Statistics, said the government's minimum-growth tolerance level represents a comprehensive assessment of GDP growth and other factors like employment.

In a sign of the leadership's confidence in employment, Premier Li Keqiang disclosed in an article published last week in the Financial Times that in the first half of this year unemployment stood at around 5 percent, according to a survey.

The government earlier announced that registered urban unemployment had stood at 4.1percent for a long period.

As for economic growth in 2013, Yang said electricity generation, a key indicator of the economy's vibrancy, rose for a fifth month in August and increased by 13.4 percent from a year ago.

Another key indicator, industrial output, grew at the fastest pace in 17 months in August, recording 10.4 percent year-on-year growth.

"Although after 30 years of fast economic expansion certain factors that used to support such rapid growth have faded away, such as the abundant supply of labor and inexpensive natural resources, China's fundamentals are unchanged," Sheng said.

Questions:

1. What percentage of growth is China expected to see in 2013?

2. What was China’s unemployment figure in the first half of this year, according to Premier Li?

3. What are key indicators of the economy’s vibrancy?

Answers:

1. China is almost certain to be able to achieve growth no lower than 7.5 percent in 2013.

2. Around 5 percent.

3. Electricity generation and industrial output.

About the broadcaster:

Anne Ruisi is an editor at China Daily online with more than 30 years of experience as a newspaper editor and reporter. She has worked at newspapers in the U.S., including The Birmingham News in Alabama and City Newspaper of Rochester, N.Y.