China cuts GDP target, slows defense budget growth amid USA spats

08 March, 2019, 10:28 | Author: Mary Valdez
  • Chinese President Xi Jinping left and Chinese Premier Li Keqiang right at the opening session of China's National People's Congress at the Great Hall of the People in Beijing on Tuesday

With this year's increase, China's defence spending moved closer to the $200 billion mark, making it the highest spender on defence after the United States.

Beijing has also stepped up its rhetoric against any independence movements in self-ruled Taiwan and continues to assert its vast territorial claims in the disputed South China Sea and East China Sea.

To help shore up the economy, China's fiscal policy will become "more forceful", Li said, with the government pencilling in cuts of almost 2 trillion yuan (RM1.2 trillion) in taxes and fees for companies.

According to the plan, Chinese inflation will accelerate to about 3 percent this year from 2.1 percent in 2018.

In preparation for a "tough economic battle ahead", Keqiang also promised tax cuts worth 2 trillion yuan ($298 billion) for the year.

In an apparent nod to the United States, with which China has been talking to strike a trade deal, Li emphasized that Beijing will proceed with its "reform and opening-up" policy, created to develop a market economy under the ruling Communist Party.

Mr. Li said the Central government budget deficit would rise from 2.6% of total economic output to 2.8%, reflecting higher spending to stimulate the economy.

The impact of trade conflict has prompted Chinese CEOs to become less reliant on the USA and instead look for growth opportunities elsewhere, said Frank Lyn, PwC China and Hong Kong Markets Leader.

Disney announces opening dates for its new Star Wars land
Access to the park, land and experiences may be restricted or unavailable depending on guest demand and other factors. And the company is expecting a massive turnout for the opening days of the experience.

NJ woman, homeless man plead guilty in GoFundMe scam
The charge that McClure pleaded guilty to in federal court carries a maximum sentence of 20 years in prison and a $250,000 fine. Bobbitt's sentencing has yet to be scheduled, but he is expected to appear in Drug Court in Burlington County Friday.

Lukaku hits out at 'lies' after Pogba row report
The achievements we've made in a short space of time have been fantastic. "He is a young coach, he has young players as well". Romelu Lukaku scored a brace before Marcus Rashford's penalty sealed it for United.

Premier Li Keqiang told the opening session of China's annual National People's Congress (NPC) that the government is targeting growth of 6 per cent to 6.5 per cent this year, lowering its range from last year.

Sam Roggeveen, visiting fellow at the Strategic and Defense Studies Center at Australian National University, said the budget figure marked a "substantial increase" in the size of China's military.

At a press conference ahead of the parliamentary session, National People's Congress spokesman Zhang Yesui pointed out that China's defence spending has maintained single-digit growth since 2016, and accounted for 1.3 per cent of GDP a year ago, while the defence budgets of other major developed countries took up 2 per cent or more.

Further cuts to the required reserves ratio for smaller banks are planned, according to the work report. In 2018, 17 provinces set lower targets.

The premier promised to "promote China-US trade negotiations", but gave no details of talks aimed at ending the fight with President Donald Trump over Beijing's technology ambitions and complaints it steals or pressures companies to hand over technology. China will work toward mutually beneficial cooperation, win-win development and settling trade disputes through discussions as equals, the report says.

The employment rate is one alternative indicator to GDP growth that economic planners have put added emphasis on in recent months due to its importance for maintaining social stability.

Separately, China's top banking regulator said on Tuesday Beijing could "absolutely" reach an agreement with the United States on opening up its financial sector, even as the country's commerce minister admitted talks with Washington had been hard.

U.S. Secretary of State Mike Pompeo said on Monday he thought both nations were "on the cusp" of a deal to end their trade war.

Recommended:



Popular

'Run!': Kate Beckinsale's ex-boyfriend warns Pete Davidson
Beckinsale commented on it saying , "Antoni is gay, if that helps clarify at all #queereye". The pair met at The Laugh Factory and went on to date for a year. "Enjoy it.

Kelly's girlfriends say parents are lying for money
Allegations have followed Kelly ever since it was revealed that, at 27, he illegally married his 15-year-old protegee Aaliyah. Kelly's team told King that the singer would not be in the room for the interview , but he was reportedly present.

Paul Manafort Sentenced To Mere 47 Months In Prison In Virginia Case
Manafort spoke briefly at his sentencing hearing, not apologizing for the crimes, but asking for leniency and compassion. Another plausible outcome could involve a presidential pardon, which Trump said he has not ruled out.

R. Kelly Calls Sexual Abuse Allegations "Stupid" in New Interview
In April 2018 she was filmed shopping with the singer at a mall in Chicago in footage that was later shared by TMZ . After, Oprah [Winfrey ] and my kids Kirby and Will called me to ask if I was okay because it looked scary.

Tesla announces it will build more powerful Superchargers
On Wednesday night, Tesla announced that it has developed a new, faster Supercharger for its electric vehicles. Tesla has also developed a new feature to help reduce charging times for Model 3 owners.

Pope Francis prays for victims of Alabama tornado
He and his wife Sandi lost their home in Sunday's storm . "The situation will now move, as it should, to a recovery", he said. The deadly twister was one of 18 tornadoes that struck on Sunday in Alabama, Florida, Georgia and SC .

Nintendo Just Announced VR Goggles for Its Switch Console
On that note, you can slowly add the rest of the Toy-Cons to your arsenal, thanks to Nintendo also releasing two expansion kits. The kits will support the Switch being used for the screens, and the Joy-Con will be used for tracking.

Macron calls for 'European renaissance' in open letter
While EU proponents always tout the economics of EU membership, Macron himself said, "Europe is not just a market". France last month saw its most serious diplomatic dispute with Italy since World War II.

Danish study debunks connection between vaccine and autism
Yet, many parents still fear vaccinating their children against these preventable diseases, and it is creating big risks. There's strong new evidence that a common childhood vaccine is safe.

Muller angered by Germany dropping
Boateng, however, took a less confrontational tone when he posted on social media about being dropped by the national team. Even so, I would have liked a different farewell for us, of course. "Good luck to the team for the future!"