**China’s Economy to Grow 5.5% in 2022, Slowing from 2021: Premier Li Keqiang**
**Beijing, March 5 (Xinhua)** — China’s gross domestic product (GDP) is expected to grow by around 5.5 percent in 2022, Premier Li Keqiang said Saturday while delivering a government work report at the opening of the annual session of the National People’s Congress (NPC), China’s top legislature.
The growth target is lower than the actual growth rate of 8.1 percent in 2021, as the world’s second-largest economy faces multiple challenges, including the lingering COVID-19 pandemic, geopolitical tensions, and supply chain disruptions.
In his report, Premier Li acknowledged the difficulties facing China’s economy and outlined a series of measures to address them.
**Key Points from the Government Work Report**
* **GDP Growth Target:** 5.5 percent
* **Inflation Target:** Around 3 percent
* **Fiscal Deficit Target:** 2.8 percent of GDP
* **Job Creation Target:** Over 11 million new urban jobs
* **Investment in Infrastructure:** 1.46 trillion yuan (about 231 billion U.S. dollars)
* **Support for Small and Medium-Sized Enterprises (SMEs):** Tax cuts, fee reductions, and loan guarantees
* **Emphasis on Innovation and Technology:** Increase spending on research and development (R&D)
* **Environmental Protection:** Reduce carbon emissions and promote clean energy
* **Reform of State-Owned Enterprises (SOEs):** Improve efficiency and competitiveness
* **Opening-Up of China’s Economy:** Continue to attract foreign investment and promote international trade
**Challenges and Outlook**
Despite the slower growth target, analysts believe that China’s economy is still on a stable footing and has the potential to rebound in the second half of 2022.
However, the economy faces several challenges, including:
* **The Ongoing COVID-19 Pandemic:** The pandemic continues to disrupt supply chains and consumer spending.
* **Geopolitical Tensions:** The Russia-Ukraine conflict and the ongoing trade tensions with the United States could impact China’s economic growth.
* **Supply Chain Disruptions:** Shortages of key commodities and transportation bottlenecks continue to pose risks to businesses.
* **Weakening Consumer Confidence:** Lockdowns and economic uncertainty have dampened consumer spending.
Despite these challenges, the Chinese government is confident that it can meet the growth target for 2022 and maintain economic stability. The government’s focus on infrastructure investment, support for SMEs, and innovation is expected to provide a boost to the economy.
The annual session of the NPC, which runs from March 5th to 11th, will deliberate on the government work report and other important issues related to China’s economic and social development..
