Chinese Premier Li Keqiang is confident that the country could keep its 7-percent annual growth rate for a fair period. He said it is possible if the government would continue with its reform, opening up and tapping into the country's huge potential.
Li remarked that China will be able to sustain its growth, at a "medium-to-high level," as there still exists a favorable condition for the country. The statement enthused by Li during a meeting with the Global CEO Council came despite the current economic slowdown of China.
The council was formed in 2013 by the Chinese People's Association for Friendship with Foreign Countries. It includes 14 global business luminaries representing various sectors such as manufacturing, energy, finance, pharmaceutical, engineering logistics and information technology.
According to Li, the country has large areas in its central and western regions that are yet to be developed, citing the gap between the said places and the more industrialized coastal areas.
"If the Chinese economy could expand at around 7 percent this year, it would translate into an incremental volume of about $800 billion," the premier said.
However, Li said that there would be "twists and turns," citing that foreign firms are eyeing to expand their presence in China. He also pointed out that the country's welcoming of a well-integrated global economy will not be held back.
Li furthered that foreign investment should be one of the country's powers in sustaining the said growth. Additionally, the government is planning to give more market access, offer better financial services and establish intellectual property rights.
"Sectors in high-end manufacturing and the service industry in particular will be opened wider to foreigners," he revealed.
U.S.'s largest aluminum-producing firm Alcoa's chairman and CEO Klaus Kleinfield stated that he is looking forward to the country's plan to upgrade its economy.
"Premier Li is a very distinguished economist and he has very valid views. And I think it is decently well understood that the current administration wants to change the pattern in China to have a more consumption- and innovation-driven and more value-added economy," Kleinfield enthused.
Meanwhile, U.S. investment bank Goldman Sachs Group's chairman and CEO Lloyd Blankfein also stated his anticipation for China's further liberalization.
"Every day I wake up to another announcement about another liberalizing move. I think it is important for China to do so," he shared.
"China has achieved a very high growth rate at some cost . . . so growth has to be absorbed, mistakes have to be corrected and bad investments have to be written off in order to have another stage of rapid growth," he added.