China will have no problem meeting 2017 growth target

BEIJING: China will have no problem meeting its economic growth target of around 6.5% this year, and may even beat it, the head of the Statistics Bureau said, confirming widespread market expectations.

Steps taken by the government to rein in the overheated property market had also been effective and would remain in place, Ning Jizhe told reporters in a briefing in Beijing.

Analysts have expected that fullyear growth would meet or exceed the government’s target after the world’s second-largest economy expanded by a stronger-than-expected 6.9% in the first half, fuelled by heavy government infrastructure spending and a property boom.

If growth does beat last year’s 6.7% – the lowest in 26 years – it would mark the first acceleration in the growth rate in seven years.

As fears of the economy suffering a hardlanding have faded, policymakers have become readier to tackle mounting debt and push forward difficult structural reforms.

Ning’s comments came just a week before a five-yearly Communist Party Congress which will be closely watched for any leadership reshuffle and cues on broad policy directions.

While the economy could lose some momentum in coming months due to higher borrowing costs and property cooling measures, most analysts believe the slowdown will be moderate.