World assured of stimulus efforts

China will not end its stimulus initiatives at a time when the global economy is starting to see "slow and zigzag" recovery from its free fall, Premier Wen Jiabao assured global business leaders yesterday.

Instead, he said the country will "enrich its stimulus package" to better link it to the creation of new engines of China's growth.

"We cannot and will not change the direction of our policies at an inappropriate time," Wen said at the opening of the World Economic Forum in Dalian, Liaoning province.

"The foundations of China's economic recovery are not stable, not solidified and unbalanced and the global economic outlook is uncertain," he said.

"The top priority of our work is to maintain stable and quick economic growth, so we will unswervingly stick to a relatively loose monetary policy and an active fiscal policy," said Wen.

Economists and analysts saw Wen's rejection of an early "stimulus exit" as a firm international commitment to shore up the global economy and they said the subject is sure to be further debated at the upcoming G20 leaders summit in Pittsburgh, Pa., late this month.

Foreign Ministry spokesperson Jiang Yu said yesterday in Beijing that China hopes the forum will help tackle the world economic downturn and send a "stronger signal" for global recovery.

"It's too early to discuss the stimulus exit timetable because the global economy is still filled with uncertainties," Bi Jiyao, a senior economist with the National Development and Reform Commission, told China Daily.