China drafts economic policies

Chinese decision makers have gathered in Beijing to determine the country's economic policies for 2010.

Analysts say maintaining healthy and stable development, strengthening restructuring and boosting domestic demand will become the focus of future policies

To cope with the slowdown in economic growth and weak demand of the external market, the Chinese government carried out a series of measures.

Namely a 4-trillion-yuan stimulus package, huge credit injection and the seven-times export-tax refunds.

A year later, all the timely and decisive measures help China become the fastest growing economy. Its GDP could surpass Japan's by the end of the year, thus becoming the world's second largest economy.

The World Bank twice raised forecasts for China's economic growth rate so far this year from 6.5 to 7.2 percent and recently to 8.4 percent.

All the efforts aim to make structural adjustment, and change the economic development pattern. However, during the global financial crisis, some structural economic problems have yet to be resolved, but have deepened, due to the task of securing economic growth.

Such structural problems include the excessive production capacity issue, the over-rapid development of industries with high energy and resource consumption and industries that bring unacceptable levels of damages to the environment.

Analysts say the new polices are expected to pay more attention to encourage the development of new industries such as high-tech sector and of new ways and fields that will boost economic growth.

More efforts should be made on promoting domestic consumption and more investment will be made to improve people's livelihood.