SINGAPORE (Pakistan Point News / Sputnik - 27th April, 2022) Chinese President Xi Jinping has instructed officials to ensure that the country's economy growth outpaces that of the US this year, the Wall Street Journal (WSJ) reported on Tuesday, citing sources familiar with the discussions.
The issue of the China-US competition has been raised in recent weeks in Xi's meetings with senior officials in the economic and financial bloc, the newspaper said.
The Chinese leader said that ensuring stability and economic growth is extremely important, as it is necessary to show that China's one-party system is superior to Western liberal democracy and that the US is declining both politically and economically, according to the report.
In response to the call, the relevant Chinese government agencies are discussing plans to accelerate the implementation of large construction projects, as well as to issue coupons for individuals, designed to stimulate consumer spending, WSJ's sources said.
In the final quarter of 2021, the US economy outpaced China, growing 5.5% year-on-year compared to China's 4.0%. US President Joe Biden claimed that the American economy grew faster than the Chinese for the first time in 20 years. According to WSJ, this caused discontent among a number of senior Chinese officials.
Last week, the International Monetary Fund (IMF) slightly downgraded its forecast for economic growth in China to 4.4% this year and to 5.1% in 2023.
According to the IMF forecast, the zero-COVID strategy pursued in China entails an increase in restrictive measures that have a negative effect on China's private consumption and overall economic growth. This, in turn, has broad implications for the entire Asia-Pacific region.
