-China will keep supporting economy as 'pressure' lingers - politburo
(Refiles to show the politburo is a top, not the top, body,
* Economy faces downward pressure and difficulties - top
* Pledges to make counter-cyclical adjustments to support
* Balance of growth support, reforms and risk controls
BEIJING, April 19 (Reuters) - China will maintain policy
support for the economy, which still faces "downward pressure"
and difficulties after better-than-expected first quarter
growth, a top decision-making body of the Communist Party said
The statement from the politburo came two days after China
reported had steady 6.4 percent annual growth in January-March,
defying expectations for a further slowdown, as industrial
production jumped sharply and consumer demand showed signs of
"While fully affirming the achievements, we should clearly
see that there are still many difficulties and problems in
economic operations," the official Xinhua news agency reported,
citing a politburo meeting chaired by President Xi Jinping.
"The external economic environment is generally tightening
and the domestic economy is under downward pressure."
China will implement counter-cyclical adjustments "in a
timely and appropriate manner", while the pro-active fiscal
policy will become more forceful and effective, and the prudent
monetary policy will be neither too tight nor too loose, it
For this year, the government has unveiled tax and fee cuts
amounting to 2 trillion yuan ($298.35 billion) to ease burdens
on firms, while the central bank has cut banks' reserve
requirement ratios (RRR) five times since early 2018 to spur
Further policy easing is widely expected.
On Friday, the politburo reiterated that the government will
effectively support the private economy and the development of
small- and medium-sized firms.
Authorities will strike a balance between stabilising
economic growth, promoting reforms, controlling risks and
improving people's livelihoods, the politburo said.
China will push forward structural deleveraging and prevent
speculation in the property market, it said.
"We should adhere to the orientation that houses are used
for living, not for speculation," the politburo said,
reaffirming a city-based approach in controlling the property
China's economic growth is expected to slow to a near
30-year low of 6.2 percent this year, a Reuters poll showed last
week, as sluggish demand at home and abroad weigh on activity
despite a flurry of policy support measures.
($1 = 6.7036 Chinese yuan)
(Reporting by Beijing Monitoring Desk and Kevin Yao; Editing by
First Published: 2019-04-19 11:36:16
Updated 2019-04-19 13:13:42
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