China could deliver 2014 growth targets 'relatively well'

BEIJING - China could deliver its social and economic goals for 2014 "relatively well", with the economy staying within a reasonable range, a statement issued after the Central Economic Work Conference on Thursday stated.

The official statement came as a string of weak economic data has stoked speculations that China may miss its 7.5 percent annual growth target.

At Thursday's meeting, which will set the tone for next year's economic policies, Chinese leaders stressed the economy still faces many challenges and "relatively big" downward pressures such as increasing difficulties for businesses and the emergence of economic risks.

The statement did not give a specific growth target for 2015, which is usually made public in March, but said China will be "reasonable" when setting up goals and maintaining the flexibility of its macro-control policies.

China will continue targeted and structured control policies to maintain a medium- and high-speed growth for the economy, the statement said. It will actively adapt to the economic "new normal" of slower speed but higher quality.

Dragged down by a housing slowdown, softening domestic demand and unsteady export, China's growth slid to a low not seen since the 2008/2009 global financial crisis in the third quarter.

In the first three quarters, China's gross domestic output expanded by 7.4 percent.

To support the faltering growth, the central bank last month decided to lower the one-year benchmark lending rate by 40 basis points and the one-year deposit rate by 25 basis points, the first interest rate cuts in more than two years.

The move gave a big boost to the stock market, but with China's deflation risk on the rise, analysts are expecting further easing to invigorate the economy.

Data out on Wednesday showed China's consumer prices grew by their slowest pace in five years in November, rising by 1.4 percent year on year.

This is the third month in a row that China has seen its CPI rise within 2 percent. For the first 11 months, inflation grew 2 percent, well below the 3.5 percent full year target set by the government.