Updated 9:12 AM EST, Tue, Jan 05, 2021

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China Can Sustain More Growth in the Next Five Years

Zang Paiyan

Zang Paiyan, the vice chairperson of the 2014 Boao Forum for Asia (left) and to his right is the former President of the Philippines, Fidel V. Ramos.

With the release of the latest statistics for exports and imports by the General Administration of Customs (GAC) on Thursday indicating a slowdown, Chinese leaders remain optimistic that the country will attain its projected 7.5 to 8.0% growth for this year.

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The vice-chairman of the Boao Forum for Asia, Zeng Paiyan, told delegates composed of business and political leaders that China's economy is resilient.

Zeng attributes the soft figures to weakening growth for investments from January to February this year to the national government's campaign to manage local government debts and the volatility of the real estate market.

He adds that Beijing is also cutting down investments in industries that are already saturated.

Growth in investments for fixed assets sharply declined to 17.9 percent from January to February. The whole sector went down by 19.3 percent at the end of 2013 with industrial output dropping during the first two months of the year, the biggest decline since April of 2009.

Zeng assured the audiences that a planned moderate stimulus in the later months of 2014 will help propel the economy to attain the yearend goal.

The vice-chair was very confident that the long occurring and uninterrupted phenomenal growth of China will continue for the next five years despite what doomsayers are predicting.

During the four-day forum, he expressed optimism that Asian neighbors will also continue to grow, seeing no imminent or immediate threat to growth.

Zeng adds that conditions are different today compared to the 1997 Asian financial crisis.

"Many countries' foreign exchange regimes have become more flexible, and regional assistance frameworks have been established," he said.

Other delegates to the forum like Victor K. Fung, the chairman of Hong Kong-based Fung Group, believe that China's shift to mere manufacturer is empowering its citizens to become avid consumers of goods made in China.

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