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Premier Li explains why China chose to maintain 7.5% growth target

Published on Mar 5, 2014 10:34 AM

Chinese Premier Li Keqiang shed light on the Chinese leadership’s thinking on why it chose to maintain a 7.5 per cent growth target this year, in spite of earlier recommendations from some influential Chinese think-tanks to lower the target to 7 per cent.

Maintaining the 7.5 per cent target this year “is beneficial to strengthening market confidence and improving the economic structure”, explained Mr Li in a work report delivered at the opening ceremony of China’s Parliament, the National People’s Congress this morning.

Growing at this stable rate would also support jobs creation, satisfying the needs of urban residents for jobs while providing opportunities for the rural residents who are moving into cities as part of the country’s urbanization push, he added.

China is targeting to create more than 10 million jobs this year – up from “over 9 million” last year. And it aims to contain urban unemployment rate at under 4.6 per cent.

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