China's Q1 economic growth surpasses expectations: NDRC

China's economic growth rate exceeded expectations in the first quarter, an official from the National Development and Reform Commission (NDRC) told the press on Wednesday. 

With continuously optimized economic structure, stable employment and prices, market expectations have generally improved and this has set a good start for the whole year, said Liu Sushe, a deputy head of the NDRC, the country's top economic planner.

Liu said that the NDRC will continue to intensify the implementation of macroeconomic policies, including the issuance of ultra-long special treasury bonds, as well as large-scale equipment renewal.

Meanwhile, the NDRC has vowed to continue enhancing market confidence. More major projects will be publicly promoted to attract private capital. Banks will also be guided to increase financing support for private investment projects and national key projects, said Liu.

In response to recent allegations that China is experiencing production overcapacity, Jin Xiandong, head of the policy research office at the NDRC, pointed out that the issue should be judged objectively based on economic principles.

Jin highlighted that in a market economy, the balance between supply and demand is relative, and in fact, supply-demand imbalances are universal and can also be conducive to competition.

Some parties have incorrectly linked higher production capacity with international trade and wrongly claimed that a higher volume of exported goods means overcapacity, he said.

China imports a large amount of chips, aircraft, soybeans and crude oil every year, but that does not mean that the exporting countries of these commodities have overcapacity, he explained.

Only by strengthening cooperation can the world achieve common development, he stressed.