BEIJING (Reuters) – China can achieve economic growth of 5% in 2024, Wang Yiming, an adviser to the People’s Bank of China (PBOC), the country’s central bank, said on Tuesday.
The world’s second-largest economy is expected to record gross domestic product (GDP) growth of 5% next year if investment increases by 4%-5%, consumption by 6%-7% and exports recover, a he declared during an economic forum in Beijing.
China can step up its support for the economy given the central government’s relatively low debt servicing while consumer prices are low, he said.
Figures released this month showed that consumer prices in China fell 0.5% year-on-year in November, the fastest pace in three years.
According to Wang Yiming, China may be able to cut interest rates if the prospect of a rate cut by the US Federal Reserve (Fed) next year is confirmed. The still significant rate gap between the two countries and concerns about the impact on banks could, however, pose a challenge.
At the annual Central Economic Work Conference, held on December 11-12, Chinese leaders pledged to adjust their policies to support economic recovery next year.
Beijing plans to achieve GDP growth of 5% this year.
(Reporting by Albee Zhang and Kevin Yao; by Claude Chendjou, edited by Blandine Hénault)
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