President Hu says China must change economic model

BEIJING – China’s President Hu Jintao said yesterday it was ‘essential’ for his country to change its economic model, which depends on exports and investment, by learning lessons from the global economic crisis.

‘The world financial crisis even further exposed the problem of transforming our model of economic development,’ Hu said in a speech to top ministerial- and provincial-level officials, according to the official CCTV television.’Transforming the economic development model is essential,’ CCTV quoted him as saying.Hu stressed that China must move towards a more balanced economic growth fed by domestic consumption, exports and investment with a more important share from the service sector and agriculture.The Chinese government’s economic stimulus measures allowed the world’s third-largest economy to expand by 8,7 per cent in 2009, but many economists say the country needs to launch structural reforms.In his speech, Hu also maintained that ‘roots of the economic revival were not yet solid’.’We must continue our efforts to consolidate the results of our anti-crisis policy and to maintain a stable economy and rapid development.’ – Nampa-AFP