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Streamlining pace of GDP
( 2003-12-02 00:11) (China Daily)

China has set a target of seven per cent economic growth for next year -- down from this year's projected rate of 8.5 per cent.

A top economic policymaker said the government's consideration of slowing the pace of gross domestic product (GDP) growth is aimed at cultivating a "scientific approach'' to social development.

"Economic development is not everything for the government, and we should pour more energy on other indicators such as education, health, environment and social welfare,''National Development and Reform Commission Minister Ma Kai said at a national meeting yesterday.

"I'm sure China can sustain a faster developing pace, but we must realize the challenge if we ignore the rule of sustainable development,'' said Ma.

Researchers said the government should consider implementing the guiding policy sooner.

Lin Yueqin from the Research Institute of Economics under the Chinese Academy of Social Sciences said a small proportion of officials believe the higher the local economic indices reported, the more likely they will be promoted.

"It's good news that the government is committed to changing the negative trend,'' said Lin.

He said the promotion of officials should not be mainly based on economic growth indices in the regions where they work. Instead, social development indicators, such as the jobless rate and income levels, should be considered.

Ma also reiterated full commitment to taking a "resources-saving'' approach to keep China's economy steaming.

"Various resources are limited for China; that's the challenge we must face during the whole process of industrialization,'' said Ma.

He suggested a massive campaign should be organized next year to promote resource-shortage awareness among the public and governmental officials.

Economists said the target re-adjustment is aimed at curbing excessive growth in some sectors, which are putting a strain on transportation and power suppliers, driving up the prices of raw materials and damaging industries across the country.

 
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