İrem GÖL -TDO- China abandons setting a target a GDP growth due to the “great uncertainty” caused by the coronavirus pandemic, an acknowledgement of challenges the country faces amid a struggling economy and increasing international hostility. This is the first time since 1990, when China began publishing GDP goals, that the leadership has not named a target.
Chinese Premier Li Keqiang said at the opening of the National People’s Congress: “We have not set a specific target for economic growth this year. This is because our country will face some factors that are difficult to predict in its development due to the great uncertainty regarding the Covid-19 pandemic and the world economic and trade environment. The government will give priority to stabilising the employment and ensuring living standards.”
Li said Chinese economic growth shrank 6.8% in the first quarter which marked the first contraction since at least 1992. That is due to disruptions to supply trains, international trade and volatility in commodity markets as well as declines in domestic consumption, investment and exports.