China's economy slowed in the fourth quarter last year, but still beat expectations. The economy grew 7-point-7 percent in the final 3 months of 2013. That's a tad lower than the 7-point-8 percent growth recorded in the third quarter but still brings the full year's increase to 7-point-7 percent.
The director of the statistics authority - Ma Jiantang - says the figures show that China's economy is stabilizing and improving thanks to government macro-control policies.
"The central government has set out a clear zone for macro economic control. It involves a bottom line for economic growth and job creation, as well as a ceiling on inflation. It gives clear guidance for us to strengthen confidence, and stabilize social expectation," said Ma Jiantang, director of National Bureau of Statistics.
The government set a comparatively low target of 7-point-5 percent as it focuses on rebalancing the economy, and advancing the reforms necessary for long-term sustainable growth.
The ongoing shift of China's economic growth model comes at the cost of slower economic growth. But the Chinese government is willing to pay the price. The official data also showed fixed asset investment grew at the slowest pace in at least a decade, as the government refused to use the old tack, boosting state investment when economic growth flagged.
"The government neither printed excessive money, nor increased the deficit to inflate growth. It created a predictable and stable policy environment, and prohibited improper policy intervention in the market mechanism," said Ma Jiantang, director of National Bureau of Statistics.
But sagging investment and flat consumption point to even more cooling ahead. An expert from the Chinese Academy of Sciences, a top think tank, however, remains bullish about the outlook.
"The 2014 GDP growth we forecast is about the same level with that of 2013. China will continue growing faster than advanced economies and its growth will still be relatively high versus other emerging market nations," said Chen Xikang, research fellow of Chinese Academy of Sciences.
Analysts say other key risks to growth this year include policy makers' success in carrying out reforms and to rein in risky lending, soaring home prices, and local government debt.
Source: CCTV
