ADB expert says China’s economy shows “steady recovery”

Anqi Zhao

"We arewitnessingthe recovery of China's economy. Last year, China's economyexpandedat 5.2%compared to the previous year,which aligns withthe ADB’s projection." Akiko Terada-Hagiwara, Head of Economics and Strategy Unit, Asian Development Bank (ADB) Resident Mission in the PRC told China Youth Daily.

According to the National Bureau of Statistics of China (NBS),during thefirst two months of 2024, most key indicatorsexhibited robust growth,employment remained generally stable, and new drivers and advantagesforeconomic growthstarted toaccumulate.

Given its solid performance in January and February, China has the conditions and support to achieve its full-year growth target of around 5 percent for 2024 through enhanced efforts, NBS spokesperson Liu Aihuastatedon 18 March.

The steady recovery of China's economy was supported by multiple policy measures introduced in 2023. With solid growth, China has become amajorcontributor to growth in the Asia-Pacific region in 2023, accounting foroverhalf of theregion'stotal growth, said Hagiwara.

Well-known international financial institutions such as UBS Group and Goldman Sachs Group generally predicted that emerging markets will usher in rapid growth again in 2024, and an important driving force for their accelerated recovery is the development ofChina's economy.

"Looking ahead, China’seconomic growth trajectoryis poised for stable growthin 2024." Hagiwara surmised.

Hagiwara noted that although the short-term outlook looks stable, there aremorelong-term structural challenges that China faces. China is facingchallengesfrom demographic changes and an aging population, which affect productivity growth.

According totheNational Development and Reform Commission of China, China will implement several measures to foster a robust economic recovery throughout this year. The planned measures will include acceleration of the legislative process to enact a law on promoting the development of the private sector andarevisionofthe negative list for foreign investment access.

The global value chain is a key factor in shaping today's world economic trends and plays an important role in promoting global economic growth and development.China's significant role in the global value chain has attracted much attention.

China’sactiveparticipation in the global value chain hassignificantlycontributed to the growth of the world’s trading system. More recently, China's outbound foreign direct investment (FDI) hasdemonstrated its potential to positively impact the economic development of host countries.“Over the past decade, China’s‘going out’strategy has successfully expanded outward investments by Chinese firms.”said Hagiwara.

"Looking forward,Chinacould considerboostingmore efficiency-seeking outward FDI, collaboratingwith local input suppliersinhost economies as well as those in third economies to enhance investment returns and profitability ofitsoutward investments." Hagiwara added.

來源：中國青年報客戶端