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What China's new economic growth targets tell us

What China's new economic growth targets tell us

Report summary

On 5th March, Premier Li Keqiang presented the key growth targets and strategies for 2016 and the 13th Five Year plan (2016-20) during China's "Two Sessions".  For the first time ever, the Chinese government announced a range target – rather than a point target – of 6.5-7% for 2016 GDP growth. The target for fiscal deficit has also been raised significantly.  How will the government address the increasingly tenuous trade-off between economic growth and reforms? In this Inform we highlight the key takeaways from the government announcements, and discuss the implications on our China GDP view.

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