External risks, but China’s economy still resilient: Xi

China’s economy remains resilient and there are ample policy tools at Beijing’s disposal despite rising external risks, President Xi Jinping said in remarks published on Saturday.

The world’s second-largest economy has steadily recovered from a virus-induced slump, but analysts say policymakers face a tough job to maintain stable expansion over the next several years to turn China into a high-income nation.

“The basic characteristics of China’s economy with sufficient potential, great resilience, strong vitality, large space for manoeuvre and many policy instruments have not changed,” Xinhua news agency quoted Mr. Xi as saying.

China has strong manufacturing capacity, very large domestic markets and huge investment potentials, he said.

Mr. Xi reaffirmed a “dual circulation” strategy that would help steer the economy towards greater self-reliance, as U.S. hostility and a global pandemic increase external risks.

China still enjoyed “strategic opportunities” in its development, although the COVID-19 pandemic has exacerbated global challenges as globalisation slows and unilateralism and protectionism are rising, Mr. Xi was quoted as saying at a meeting on the country’s 14th five-year plan (2021-2025).

“We must seek our development in a more unstable and uncertain world,” he said.

“The great rejuvenation of the Chinese nation can never be achieved easily with the beating of gongs and drums,” Mr. Xi added.