China shrugs off IMF warnings on zero-tolerance Covid approach




  • In Business
  • 2022-01-26 09:38:05Z
  • By AFP
 

Beijing shrugged off IMF warnings about the economic impact of its aggressive anti-Covid policy, saying on Wednesday that China has achieved "significant results" and is a key driver of global growth.

The International Monetary Fund lowered its growth outlook for China and the rest of the world on Tuesday and said Beijing's zero-Covid policy -- which has seen entire cities locked down over a handful of cases -- has spurred a slowdown in the world's second-largest economy.

It might be time for Beijing to "recalibrate" its stance in order to ease pressure on global supply chains and economic growth, the fund's newly-installed first deputy managing director Gita Gopinath told AFP.

But Chinese foreign ministry spokesman Zhao Lijian said the country's "status as an important engine of global economic growth has not changed," adding that Beijing has achieved "significant results" in its economic rebound and boosting global economic recovery.

"China has always adopted scientific, comprehensive and effective prevention and control measures," he told reporters.

The IMF cut 0.8 points off China's expected growth this year, forecasting it at 4.8 percent in the quarterly update to its World Economic Outlook. Global growth was reduced by half a point from the Fund's October estimate.

Although the Chinese economy made a quick bounceback after the virus first emerged in central Wuhan city, growth in the final three months last year slowed to four percent with the economy shaken by a series of shocks towards the end of 2021.

Economists have cautioned that growth is under pressure in the country, partly because of renewed Covid outbreaks and restrictions.

China reported 24 domestic coronavirus cases Wednesday, more than half in the capital Beijing.

Although numbers are low compared with those in other countries, Beijing's zero-Covid approach has seen harsh local lockdowns imposed over handfuls of cases.

Many restrictions have hit port cities, manufacturing centres or financial hubs, clogging crucial points in China's supply and production chains.

bys/rox/ssy

COMMENTS

More Related News

Japan PM Kishida calls China
Japan PM Kishida calls China's development in E. China Sea "unacceptable"

Japanese Prime Minister Fumio Kishida said on Saturday that he was disappointed in China's efforts to develop areas in the East China Sea, saying that it was...

Singapore Still Rules China Futures Market as Hong Kong Edges In
Singapore Still Rules China Futures Market as Hong Kong Edges In

(Bloomberg) -- Six months after Hong Kong introduced equity index futures to make it easier for international investors to bet on Chinese stocks, Singapore...

Every President Talks About Focusing on China-Biden
Every President Talks About Focusing on China-Biden's Really Doing It

Photo Illustration by Elizabeth Brockway/The Daily Beast/GettyJoe Biden is committed to succeeding where his predecessors failed. He recognizes the...

Exclusive-Europe aims to revive magnesium output by 2025 to cut China reliance
Exclusive-Europe aims to revive magnesium output by 2025 to cut China reliance

EU policymakers have launched a drive to restart domestic output of magnesium, used in aluminium and steel products, with at least three firms working on...

UN rights chief to visit China next week, travel to Xinjiang
UN rights chief to visit China next week, travel to Xinjiang
  • World
  • 2022-05-20 11:25:30Z

The United Nations' top human rights official will visit China next week on a trip that will take her to the Xinjiang region, where rights groups and some...

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

Top News: Business