China’s new prime minister on economic prospects and growth
China’s new Premier Li Qiang said Monday that policymakers would focus on the quality of growth. While he said China’s growth target of around 5% is not easy to achieve, policymakers are pushing for growth, he added.
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BEIJING — China’s new Premier Li Qiang said Monday that policymakers would focus on the quality of growth — particularly the needs of ordinary people for housing, income, education and healthcare.
His comments reflected how Beijing is still focused on priorities other than growth itself.
Li said China’s focus is shifting to what it calls high-value development, such as building technology and so-called green industries.
Speaking of macro policy, he said leaders would focus on stability, boost domestic and foreign demand, tech innovation and disperse risk.
He said China’s growth target of around 5% will not be easy to achieve. But he said policymakers are pushing for growth, claiming non-state-owned companies have greater scope for development.
Cabinet reshuffle in China
Li was named China’s new premier on Sunday in a widely anticipated move. He is a known protégé of Chinese President Xi Jinping and has never served as deputy prime minister – his appointment breaking precedent.
On Friday, Xi won an unprecedented third term as president, further consolidating his power.
It was widely expected that Xi would retain the role at this month’s largely ceremonial parliamentary session known as the “Two Sessions.” The annual meeting marks the sessions of an advisory group and a legislative body, the National People’s Congress.
In other leadership changes announced over the weekend, He Lifeng was among four people appointed as vice premier. He previously headed the National Development and Reform Commission, China’s economic planning agency.
Several ministers retained their roles. According to state media, Yi Gang will remain head of the People’s Bank of China, Liu Kun will remain chief of the Treasury and Minister of Commerce Wang Wentao.
New Chinese Premier Li Qiang, pictured right, is a well-known protégé of Chinese President Xi Jinping, pictured left.
Lintao Zhang | News from Getty Images | Getty Images
Beijing has yet to announce who will head China’s securities regulator and the newly formed national financial regulator, which will replace and expand the role of China’s banking and insurance regulator.
The administration is supposed to oversee most of the financial industry – with the exception of the securities industry.
Beijing set up the new financial administration as part of a reorganization of the State Council, the top executive body of the Chinese government. As Premier, Li Qiang heads the State Council.
The reorganization comes as the ruling Chinese Communist Party is expected to significantly expand its direct control of the government.
The recent shift in governance will help make China’s monetary and fiscal policies more consistent, said JLL’s Bruce Pang. He expects the new team will help adopt a “more pro-growth stance.”
https://www.cnbc.com/2023/03/13/china-npc-closing-chinas-new-premier-on-economic-outlook-growth.html China’s new prime minister on economic prospects and growth
