Amidst economic uncertainties, China analysts hopeful of economic growth

Chinese analysts have expressed hope for economic growth in the country even as China faces increased uncertainties in the wake of the Ukraine-Russia conflict, increased oil prices, and continued tensions with the west, a media report said.

The comments come in the wake of Chinese Premier Li Keqiang's briefing on Friday at the conclusion of the fifth session of the 13th National People's Congress, the highest legislative body of China.

Chinese Premier Li had laid out the economic growth target of China in the forthcoming year and briefed the media on the challenges for achieving the desired growth rate.

"A growth rate of about 5.5 per cent is high-standard stability, which is an improvement. It's not easy to achieve, and has to be supported by relevant macro-economic policies," Li said.

"It shows Li's confidence that disruption of unstable factors on China's economy will be relatively small, although he also expressed a certain level of caution," Bo Wenxi, chief economist at wealth management firm IPG China was quoted by Global Times.

Li also said that China needs new job platforms and that the government will give support, like providing training services to new labourers.

The comment is important given China's shrinking job market has raised concerns in recent years. A recent survey conducted by the China Institute for Employment Research (CIER) at the Renmin University of China and job search website Zhaopin indicate that the number of jobs available per applicant among fresh university graduates in China fell to 0.88 in the fourth quarter of 2021, reported The Hong Kong Post.

A major economic uncertainty that China faces is the increased global oil prices and the continued conflict in Ukraine and the accompanying sanctions against Russia.

"The world economy today is already struggling (due to COVID-19 induced shocks), sanctions (against Russia) will hurt world economic recovery. It is in no one's interest," the Chinese Premier had appealed in his briefing.

Even as the country faces emerging challenges, the Chinese analysts have expressed hope that China will be able to achieve its economic targets.

"There is certainty amid uncertainties... many other regions have problems, like US inflation and Europe's loss of a sense of security. China's opportunity space is larger than any other region in the world," Li Haidong, a professor at the China Foreign Affairs University in Beijing was quoted by Global Times.