President Xi Jinping has reassured local governments that China’s economy still enjoys a promising outlook despite downward growth pressure pegging it around seven per cent.
Xi made the remarks during a discussion with provincial officials after an inspection tour to Jilin from Thursday to Saturday, where he urged the north-eastern province to strive for breakthroughs while adapting to the “new normal” of slower economic development.
He pointed out the Chinese economy is in good condition with unchanged factors, including sound economic fundamentals, remarkable flexibility, huge potential and room for growth, state—run Xinhua news agency reported.
The economy is undergoing steady restructuring with emerging sectors cropping up to lend fresh steam to drive growth, Xi added.
“We should be confident that economic growth still enjoys promising prospects,” Xi said.
China’s economy posted better—than—expected growth of 7 per cent in the second quarter of 2015, according to the data released by the National Bureau of Statistics (NBS) on Wednesday.
The economy is entering a new stage of slower but more resilient growth, which Xi has called the “new normal“.
The essence of the “new normal” is not fast growth, but an improved economic structure that relies more on the services industry, consumption, and innovation.
The latest data shows the services sector has become the biggest driver of economic growth, expanding 8.4 per cent in the first half and accounting for 49.5 per cent of GDP.