Tokyo - KUNA
Chinese President Xi Jinping on Sunday shrugged off worries over the risks Chinese economy is facing, saying that the risks are "not that scary," according to state-run Xinhua News Agency.
Speaking in a keynote speech at the Asia-Pacific Economic Cooperation (APEC) CEO Summit in Beijing, Xi said "Indeed there are risks (in the Chinese economy), but not that scary," Xi said. Addressing worries that the world's second-biggest economy may further decline in growth rate, Xi said "China's economic growth has become more stable and been driven by more diverse forces." Xi said China has adopted innovative ideas and approaches in macroeconomic management, and is advancing the new type of industrialization, IT application, urbanization and agricultural modernization in a coordinated way.
These measures will help relieve the "growing pains," he said, adding that the Chinese economy is driven more by domestic consumer demands, thus steering clear of external risks from over reliance on export.
China's economic growth slowed to a five-year low of 7.3 percent in the third quarter, down from 7.5 percent in the April-June period, suggesting slowing momentum in the economy and fueling concerns that China may miss the annual growth target of around 7.5 percent. But Xi downplayed such concerns by pointing to economic increment China has registered in recent years.
Even a growth rate of around 7 percent would place the Chinese economy among the top in the world in both speed and increment, Xi said, adding that all major economic indicators of the country are "within the reasonable range." China's economic growth has slowed down from the previous high speed to a medium-to-high speed, and the economy is increasingly driven by innovation instead of input and investment, Xi said.
In the first three quarters of 2014, final consumption in China overtook investment by contributing 48.5 percent to the country's economic growth.