For Ma Jun, chief economist of the People’s Bank of China, the service sector and the green industry will become the major drivers supporting China’s growth. (Photo : Reuters)
In the next five years, China aims to reach a mid- to high-level economic growth and encourage increased consumption, according to a report by China Daily.
Based on a communique from the Communist Party of China, the goal will be crucial in ensuring that the country becomes a well-off society which can produce a doubling of the gross domestic product and per capita income of rural and urban residents by 2020. Thus, it will be expected that per capita disposable income will further exceed 2010 levels: 19,109 yuan for urban residents and 5,919 yuan for rural residents.
Zhang Jianping, director of the International Economic Cooperation Institute of the National Development and Reform Commission, stated that the proposal indicated a consensus among leaders that China's economy is now fully capable of reaching such growth level.
"Economic transformation and restructuring can not be ensured without sufficient growth, while a very ambitious target is unlikely, taking into account the downward pressure and rising costs," said Zhang.
Top officials have also emphasized the significant increase of consumption's share in the GDP as the country is gearing toward becoming a consumption-driven economy.
In 2014, consumption accounted for 51.2 percent of GDP.
For Ma Jun, chief economist of the People's Bank of China, the service sector and the green industry will become the major drivers supporting China's growth.
At the same time, old economic indicators such as coal prices, electricity consumption and cargo volume have gradually lost their significance as they are closely related to the declining high-polluting and energy-guzzling industries.
In addition, economists have widely agreed that China's GDP has to maintain growth of 6.5 percent during the 13th Five-Year Plan to achieve the GDP and income goals. The target will be announced in March.
