China’s efforts to stabilize its economy are paying off and helping to promote a recovery from the global financial crisis, World Bank president Robert Zoellick said yesterday.
Zoellick praised China’s “decisive action” to help stabilize its economy and its persistence in trying to expand domestic demand as exports had fallen.
“China has steered a steady course through the stormy seas of the economic crisis,” he told reporters following meetings with Chinese leaders, including Premier Wen Jiabao (溫家寶).
“Through its massive stimulus and strong lending program, China has contributed to the early signs of a global recovery by keeping its growth rate up,” Zoellick said.
“With growth in China now projected at close to 8 percent for 2009 as a whole, and signs of stabilization in many other economies in Asia and around the world, the chances of a truly global recovery have increased measurably,” he said.
Fueled by a US$590 billion economic stimulus plan, China had achieved an initial rebound in economic growth that was driven mainly by domestic demand, he said.
The rebound caused a jump in China’s imports of raw materials, machinery, equipment and other goods.
“China’s trading partners are benefiting from this domestic demand and that is helping to strengthen levels of confidence across the world,” Zoellick said.
“The challenge for China now is to deepen the domestic consumption trend through even stronger government investment in health and education, financial sector reform, liberalizing services further, and strengthening the integration of migrants in China’s cities,” he said.
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