Stable Chinese economy to boost global growth

(Xinhua) Updated: 2013-01-14 10:41

Slowdown unavoidable

China is not expected to maintain its rapid economic growth, as it has become obvious that China's economy has in fact been slowing down, said Zuo Xiaolei, chief economist at China Galaxy Securities.

But the slowdown is reasonable, as the economic environment has changed, Zuo said.

Exports, along with consumption and investment, have been crucial for China's economic growth, but exports have been contributing less to the country's growth due to the global economic slowdown, Zuo said.

Facing shrinking overseas markets, China must transform its growth mode to focus more on domestic demand, Zuo said, adding that investment and consumption will be crucial in boosting domestic demand.h China's GDP growth slowed to a seven-quarter low of 7.4 percent in the third quarter of 2012. Full-year GDP figures for 2012 have yet to be released.

China's foreign trade is not likely to grow rapidly due to sluggish foreign demand, said Zong Liang, head of the international finance research institute under the Bank of China.

Although China's international economic influence is vast, it is still far from acting as a locomotive for global economic growth, analysts said.

The government should pay more attention to the quality and efficiency of economic growth, as well as figure out how to restructure and shift the country's economic growth mode, Xu said.

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