At the opening ceremony of the fifth session of 12th National People's Congress, the top legislature, Chinese Premier Li Keqiang said the government aims for a 6.5% growth in GDP this year. China's economic growth rate in 2016 registered at 6.7 percent.
The objective was among the goals laid out in the government work report presented by Premier Li.
Premier Li also announced that the M2 money supply growth target was cut to about 12 percent from 13 percent last year.
The consumer price index target of about 3 percent increase was unchanged from last year. Also left unchanged is the fiscal budget deficit ratio goal at 3 percent of gross domestic product.
Li also announced that the Yuan exchange rate will be further liberalized.
“The RMB exchange rate will be further liberalized, and the currency’s stable position in the global monetary system will be maintained,” says the Government Work Report.
The work report reiterated that China will pursue a prudent and neutral monetary policy this year.
The work report also outlined objectives for attacking excess capacity by cutting 150 million metric tons of coal capacity this year and reducing steel capacity by 50 million metric tons.
Financial regulation will be "proactively and prudently reformed" and the industry’s ability to serve the real economy will be strengthened, the report said.
The report also stated that the government will continue to remove restrictions on foreign capital in services, manufacturing and mining; encourage foreign firms to list and issue bonds in China.