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      Premier pledges support for innovation to spur growth

      2014-05-22 07:59 Global Times Web Editor: Qin Dexing
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      Chinese Premier Li Keqiang vowed on Wednesday full support for businesses to develop innovation, as the economy is shifting to efficient growth with an increased role for markets.

      A tolerance for failure is being pledged by the premier as part of the support, said a statement posted on the central government's website on Wednesday after an executive meeting presided over by Li.

      The country has entered a new phase of innovation-driven growth which will be a catalyst for the Chinese economy's restructuring and industrial upgrade, the premier said in the statement.

      To mobilize the initiative to foster innovation, the country has decided to substantially increase State funding to foster the development of emerging sectors, read the statement, which also revealed the central government's decision to speed up construction of major water conservation and supply projects.

      On top of these decisions, letting the market mechanism play its part will be key to foster development of both the economy and society, the premier noted.

      At Wednesday's meeting, the premier again staved off speculation about big government stimulus to revitalize the economy which hit an 18-month low growth of 7.4 percent in the first quarter.

      "The current issue is not about a repeated release of major policy [stimulus], but to make sure that assigned tasks in [this year's] government work report can be resolutely implemented," Li said.

      In his first government work report delivered in March, Li reiterated the significance of cutting government interference and steering the economy to be more market-oriented.

      The State Council's major tasks for this year were described in the government work report as including a raft of reform efforts, among which the push for an innovation-led economy was highlighted.

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