China's five per cent GDP growth target for 2023 is achievable

China's GDP growth target of around 5 per cent by 2023 is reasonable and achievable as it is in line with the country's economic trends and will contribute to quality development, the country's chief economic regulator said on Monday, as reported by China Daily, a partner of TV BRICS.

Analysts and business executives expressed strong confidence in China's good economic prospects, saying the country has the opportunity to achieve its annual economic growth target amid improving domestic consumption and increasing infrastructure spending.

Zhao Chenxin, deputy head of the National Development and Reform Commission, said setting a five per cent annual target could help various market players focus on delivering better quality and productivity while promoting economic growth and shaping a new development model.

Thirty-one provincial-level regions on the Chinese mainland have set their growth targets for 2023, with 27 of them setting their growth targets above the national target and 23 at least 5.5 per cent, said Zhao at a press conference in Beijing on Monday.

"Their confidence and well-thought-out realistic measures to stabilise growth have created the conditions and laid the foundation for the nation to achieve its growth target this year. We are confident of achieving the annual targets," explained Zhao.

Zhao said the country will mainly focus on strengthening regulation and maintaining the continuity and consistency of macro policies.

He said more efforts would be made to further unlock the potential of household consumption, increase investment and reduce risks in areas such as the real estate and financial sectors.

Lu Ting, Nomura's chief economist for China, stressed that China's GDP growth target for 2023 is reasonable and rational, as the economy is still expected to face many headwinds during the year.

He said his team still expects China's GDP to grow to 5.3 per cent this year from last year's 3 per cent.

At a press conference on Monday, Li Chunlin, deputy head of the NDRC, said consumption would serve as the main driver of China's economic growth this year.

He said the country would implement steps to stabilise spending on high-value goods, increase consumption in services and household income through several channels, and promote green and new types of consumption. Authorities promised support in key areas including housing, new energy vehicles, elderly care and health care.

Gross domestic product is the total final market value of all goods and services in all sectors of the economy produced for final consumption, excluding intermediate products, over a certain period of time, usually a year.

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