As the country’s top economic official, he expressed confidence that Beijing can carry out plans to shrink bloated steel and coal industries while still meeting its economic growth target of 6.5 to 7 percent.
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“So long as we stay on the course of reform and opening up, China’s economy will not suffer a “hard landing”, Li said at the event capping the annual meeting of China’s ceremonial legislature.
India did not figure in Li’s over two hour-long press meet in which he answered questions about China’s tenuous ties with US, Japan and growing relations with Russian Federation though Sino- Indian border dispute continues to cast a shadow over the bilateral ties with recurring reports of incursions by Chinese troops into the Indian side of the Line of Actual Control.
7% target for 2016 growth being questioned as overly optimistic of late, Xi insisted that it would be “impossible” for China to miss that goal.
At the news conference, Li acknowledged China’s slowing growth and regulatory shortcomings, possibly hoping reassure investors and consumers with a show of candor.
U.S. Democratic presidential hopeful Hillary Clinton has also weighed in with criticisms of China, saying earlier this month that as the Chinese economy slows, China will engage in more damaging practices in global trade.
According to Li, the country is determined to press ahead with its reform agenda, and reform and development are not in conflict, as pursuing structural reforms can drive economic growth.
“The U.S. has never left the Asia Pacific, we can cooperate in the Asia-Pacific region and properly handle our differences”, Li said. “I don’t want to see us retrace our steps again”, he said. “The government has plenty of policy instruments in reserve to cope with small or short-term growth fluctuations, and there are more hopes than difficulties”.
The Premier also stressed Beijing had plenty of policy instruments in its “tool kit” and its economic performance this year would provide a “warm breeze” for the global economy.
But Li said on Wednesday that the government could offer more aid for laid-off workers if necessary, in addition to a 100 billion yuan ($15.3 billion) fund announced in February aimed at relocating workers who lose their jobs.
Mr Li’s remarks come even as China has become a flashpoint in USA politics, with anti-Beijing campaign rhetoric growing louder as the election season looms.
Beijing has said it understands the frustrations of Hong Kong’s youths amid the city’s sluggish economic growth, where median income has barely risen in the past two decades and property prices have surged, and Li said the central government would help support Hong Kong’s economic growth.
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Li said there were plans to develop a stock-trading link between Hong Kong and Shenzhen this year, expanding upon a program that already exists between Shanghai and Hong Kong.
