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Chinese Premier Li Keqiang goes on the record with 6.5 per cent economic growth target

China lowers its GDP goal but still aims for 'moderately prosperous society' by 2020

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China has dimmed expectations for growth, setting a 6.5 per cent target for the next five years. Photo: Bloomberg
Daniel Renin ShanghaiandAndrea Chen

Premier Li Keqiang unveiled a 6.5 per cent annualised economic growth target for the next five years on Sunday, as he tried to ease global investors' fears about a slowdown in China's economy.

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Addressing South Korean business leaders in Seoul, Li said China would aim for lower growth in gross domestic product but would still meet its target of creating a "moderately prosperous" society by 2020.

"In terms of GDP, we need to maintain year-on-year growth of at least 6.5 per cent to meet the goal," he said, adding that concerns about China's slowing growth were excessive.

"China's slowdown is at a gradual pace," Li said. "The growth slowed from 8 per cent, to 7.7 per cent, 7.4 per cent or about 7 per cent. But the economic output was still increasing at an orderly pace."

It was the first time a top Chinese leader had admitted publicly the country would lower its GDP target after a lacklustre economic performance this year.

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In a statement released last week after a key meeting in Beijing, the Communist Party said China would aim for medium to high growth, without giving a specific target.

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