News / Asia

China Lowers Growth Forecast to Curb Inflation, Pollution

Chinese jobseekers check out the various vacancies offered at a job fair.  Premier Wen Jiabao said China had set a lower than usual economic growth target and pledged to contain soaring prices, February 26, 2011
Chinese jobseekers check out the various vacancies offered at a job fair. Premier Wen Jiabao said China had set a lower than usual economic growth target and pledged to contain soaring prices, February 26, 2011

Chinese Premier Wen Jiabao has lowered the country's economic growth targets and declared that the world's second-biggest economy can no longer "blindly" pursue unsustainable expansion.

Wen has used his annual online Internet question and answer session with the public to reveal China is lowering its economic growth forecast.

He says the government is reducing its growth expectations from seven-and-a-half percent to seven percent per year, in an effort to curb soaring prices -- particularly in food and housing costs.

And, he says China must change its economic model and become more self-sustainable by increasing domestic consumption.

He also says the country must reduce its reliance on exports and investment.

Wen says the growth rate change will raise the quality and efficiency of economic growth, as it cannot blindly pursue unsustainable expansion.

He also says China can no longer sacrifice the environment for what he describes as rapid and reckless development.

Thelowering of the forecast is seen as symbolic, because China has exceeded its growth rate for the past six years.

Growth reached 10.3 percent last year -- making China the fastest-growing major economy in the world.

But inflation is running at almost five percent per year and food prices have surged by 10 percent annually, and this is affecting hundreds of millions of households.

Price hikes -- along with life-threatening levels of pollution in many areas -- are creating rising public discontent.

The government is aware that, in the past, sharply rising living costs have sparked resentment against its tight grip on power.

China researchers theorize Wen's online public announcement is designed to manage expectations as the government seeks to cool the economy.  

His Internet chat was held on the same day as online calls for Chinese to take to the streets for what is described as a stroll to protest soaring inflation and one-party rule.

Few heeded the call for China's copying of non-violent "Jasmine rallies" -- a reference to the Jasmine revolution in Tunisia that set off a domino effect of unrest through the Middle East.

But China's security forces took no chances and flooded landmarks in Beijing and Shanghai designated as protest sites to stamp out any signs of unrest.    

You May Like

Video VOA Reporter Tours Devastated Peshawar School

Islamist militants wearing military uniforms and strapped with explosives attacked a military run school Tuesday in the northwestern Pakistani city of Peshawar. At least 141 people were killed in the horrific attack, most of them young students. More

Video Sudan School Becomes Target of Aerial Attacks

Dropout rate at an all-time high in South Kordofan state because many schools have been destroyed during 3-year civil war More

Tennessee Songbirds Fly Coop Long Before Tornadoes Arrive

Researchers say birds apparently alerted to danger by sounds at frequencies below range of human hearing More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
US: Response to Sony Hack Will Be Proportionali
X
Aru Pande
December 19, 2014 1:45 AM
The White House says President Barack Obama considers the cyberattack on Sony Corp. a serious national security matter and that the U.S. will counter with an "appropriate response." VOA correspondent Aru Pande reports.
Video

Video US: Response to Sony Hack Will Be Proportional

The White House says President Barack Obama considers the cyberattack on Sony Corp. a serious national security matter and that the U.S. will counter with an "appropriate response." VOA correspondent Aru Pande reports.
Video

Video Sudan School Becomes Target of Aerial Attacks

The school dropout rate is at an all-time high in Sudan's South Kordofan state because many schools have been destroyed during the three-year civil war between the government and SPLA-N rebel forces. Adam Bailes visited Sudan's Nuba Mountains' region and reports many children are simply too scared to go to school
Video

Video Nigerians Fleeing Boko Haram Languish in Camp Near Capital

In its five-year effort to impose Islamic law in northeastern Nigeria, the Boko Haram extremist group has killed thousands of people and forced hundreds of thousands to flee. Some of those who ran for their lives now live in squalor on the edges of the capital, Abuja. Chris Stein reports for VOA.
Video

Video Putin Says Russian Economy Will Emerge Stronger

Russian President Vladimir Putin has said his country's sinking economy will not only recover but also become stronger, despite falling oil prices and Western sanctions over Ukraine. VOA's Daniel Schearf reports.
Video

Video Detained Turkish Journalists Follow Teachings of US-Based Preacher

The Turkish government’s jailing of critical journalists has sparked international condemnation and is being seen as an effort to undermine the followers of an ailing Turkish preacher based in the United States. VOA religion reporter Jerome Socolovsky has more.
Video

Video ‘Anti-Islamization’ Marches Increase Tensions In Germany

Anti-immigrant rallies in Germany have been building in recent weeks, peaking Monday night in the city of Dresden where tens of thousands of people turned out to demonstrate against what they call the ‘Islamization’ of the West. Germany has offered asylum to more Syrian refugees than any other country, and this appears to have set off the protests. Henry Ridgwell reports from London.
Video

Video Aceh Rebuilt Decade After Tsunami, But Scars Remain

On December 26, 2004 there was an earthquake in the Indian Ocean so powerful it caused the Earth’s axis to wobble a few centimeters. Onshore on the island of Sumatra, the resulting tsunami was devastating. A decade later, VOA Correspondent Steve Herman reports from Banda Aceh, Indonesia, where although there is little remaining evidence of the physical devastation, the psychological scars among survivors remain.
Video

Video Refugees Living in Kenya Long for Peace in the Home Countries

Kenya is host to numerous refugees seeking safe haven from conflict. Immigrants from Somalia face challenges in their new lives in Kenya. Ahead of International Migrants Day (December 18) Lenny Ruvaga has more for VOA News from the Kenyan capital.

All About America

AppleAndroid