China was confident of achieving its 8-percent gross domestic product (GDP) growth target for 2009, Liu Tienan, vice minister of the National Development and Reform Commission, told a press conference Friday.

Liu said China's fast development facilitated industrialization and urbanization, trends that in turn provided huge consumption potential.

The country's financial system was in "good shape" overall, he said.

China had faced downward pressure from the global economic downturn, especially since the fourth quarter, he added.

China had developed stimulus plans for 10 industries, which would continue to buoy confidence and support economic development, he said.

Starting last month, China unveiled stimulus packages for 10 sectors: automobile, steel, shipbuilding, textiles, machinery, electronics and information technology, light industry, petrochemicals, nonferrous metals and logistics.

Liu said these packages were not only intended to offset the current economic slowdown but would promote industrial restructuring and upgrading. The plans also reflected public concerns and the effort to protect the environment.

Zhu Hongren, director of the Department of Operations Monitoring and Coordination under the Ministry of Industry and Information Technology, said obsolete, polluting industrial facilities that were energy- and resources-intensive would be eliminated.

He said there would be mandatory, clear regulations for the elimination of such capacity in industries covered in the support packages, including steel, nonferrous metals and light industry.

Increasing the scale of government investment was an important, effective and direct way to deal with the impact of the global financial crisis, Liu said in response to a reporter's question.

An increased fiscal deficit was "necessary" at such times, he said.

However, the increase was in a "controllable range" and the risk was bearable, he said.

China's draft budget will be submitted to the annual national legislative meeting, which opens March 5. China's fiscal year starts on Jan. 1.

(Xinhua News Agency February 27, 2008)